Alpha Cognition (ACOG) Investor Update summary

Commercial launch strategy and market opportunity

• ZUNVEYL, an FDA-approved oral therapy for mild to moderate Alzheimer's, will launch in March, initially targeting the $2 billion long-term care segment, with plans to expand into retail and neurology markets.

• The commercial team and infrastructure are nearly fully staffed, targeting over 80% of the LTC segment, with 75% of sales territories filled and a focus on high dementia prevalence regions.

• ZUNVEYL is priced at $749 per month, aligning with market research and payer feedback, and is expected to be covered for most LTC patients at a $0 copay, with 65-70% of LTC residents having access.

• The company expects a gradual sales ramp, with modest first-year sales and a sharp uptick in subsequent years as adoption grows, aiming for break-even within three years.

• Full-year expenses are projected under $39 million for 2025.

Product differentiation and clinical need

• ZUNVEYL is designed to minimize GI and sleep-related side effects, addressing key reasons for high discontinuation rates with current Alzheimer's treatments.

• Converts to active galantamine after first-pass metabolism, offering proven efficacy and improved tolerability over existing acetylcholinesterase inhibitors.

• Zero incidence of insomnia and improved sleep quality are highlighted in the product label and clinical data.

• The drug is expected to improve patient adherence, reduce polypharmacy, and lessen staff burden in LTC settings.

• A sublingual formulation is in development for the 20% of patients with swallowing difficulties, alongside a late-stage combination asset.

Stakeholder perspectives and operational impact

• Long-term care experts emphasize the high prevalence of Alzheimer's in nursing homes and the operational challenges posed by current treatments' side effects.

• Improved tolerability is expected to enhance quality measures, such as fall rates and weight loss, which affect facility ratings and referrals.

• Pharmacists play a critical role in medication optimization, adherence, and minimizing unnecessary polypharmacy in these settings.

• ZUNVEYL is anticipated to replace current second-line options, especially for patients who have failed donepezil, and can be used in combination with other Alzheimer's therapies.