Shares of PMGC Holdings Inc. ( ELAB ) were trading higher in premarket session Thursday, but dipped over 11% at last check.

The company’s subsidiary, Northstrive Biosciences Inc., formed a development and license agreement with biotechnology innovator Yuva Biosciences Inc. to advance new drug treatments focused on metabolic diseases.

Yuva Biosciences will apply its proprietary AI platform, MitoNova, to identify small molecule candidates that enhance mitochondrial health and potentially combat age-related cellular dysfunction.

As part of the deal, YuvaBio will design artificial intelligence algorithms to pinpoint and assess drug candidates that enhance mitochondrial performance.

“Declining mitochondrial function not only accelerates aging but also plays a central role in numerous age-related disorders and other pathologies such as obesity,” said co-founder and CEO of Yuva Biosciences, Greg Schmergel.

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“With this collaboration, we will be leveraging our proprietary AI to discover compounds that are mitochondrial promoters and protectors and verify the findings with experimental wet lab testing.”

The selected compounds will be subject to laboratory testing to confirm their effectiveness. Northstrive will obtain exclusive worldwide rights to advance these discoveries into therapies for cardiometabolic illnesses, such as cardiovascular disease and obesity.

The multi-stage initiative will integrate computer simulations, digital compound screening, and experimental validation to speed up the identification of potential drug candidates.

MitoNova leverages a vast, exclusive dataset and advanced AI tools to reveal connections between chemical structures and biological effects, simplifying the journey from initial discovery to laboratory evaluation.

YuvaBio is set to earn an initial payment upon signing the deal, with additional compensation linked to key development milestones.

The agreement further grants YuvaBio royalty earnings from any market-ready therapies developed from the selected compounds by Northstrive or its partners and sublicensees.

Price Action: ELAB shares traded higher by 16.5% at $4.57 in premarket at last check Thursday.

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