Evogene Collaborates with Systasy to Develop New Therapies
Evogene, Systasy Bioscience and LMU University Hospital Munich, announced a collaboration aiming to accelerate the development of novel therapies for hyper-inflammatory diseases driven by dysregulated neutrophil activity, including inflammatory bowel disease, or IBD. The collaboration brings together Evogene, Systasy, and Prof. Christoph Klein, from LMU University Hospital in collaboration with the German Center for Child and Adolescent Health, with additional participation from the Weizmann Institute of Science in Rehovot, Israel. The program is supported by pan-European EUREKA grant, which was awarded to advance this international drug discovery effort. Hundreds of millions of people worldwide are affected by inflammatory and immune-mediated diseases in which neutrophils play a key pathogenic role. Despite being first responders in inflammation and key drivers of tissue damage, neutrophils are not directly targeted by existing therapies, creating a significant unmet need for safe, selective, and effective new treatment approaches. The collaboration builds on Prof. Klein's clinical and scientific studies and insights derived from a rare genetic immunodeficiency. His team identified a novel inborn error of immunity associated with reduced numbers of neutrophil granulocytes, yet without marked functional defects of the immune system. Evogene will lead the small-molecule drug discovery effort using its proprietary ChemPass AI generative engine to design, optimize, and prioritize novel inhibitors. Together with the Weizmann Institute of Science, computational design will be tightly integrated with high-throughput experimental validation. Systasy will leverage its proprietary DNA barcoding technology to expand the PathwayProfiler platform for multiplexed profiling of stem cell-derived neutrophils, generating high-dimensional functional data to validate and refine Evogene's AI-designed inhibitors. The Department of Pediatrics at LMU's Dr. von Hauner Children's Hospital, led by Prof. Christoph Klein, will apply advanced stem cell biology and precision diagnostics to validate lead compounds in innovative human in vitro neutrophil models, while also supporting biomarker discovery and translational strategies aimed at personalized immunology and future clinical development.
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- Strategic Focus Shift: After a comprehensive technology review in 2025, Evogene decided to concentrate resources on the ChemPass AI™ platform, focusing on two high-impact markets—human health and agriculture—thereby enhancing its competitiveness in small-molecule therapeutics and novel ag-chemicals.
- Partnership Expansion: Throughout 2025 and early 2026, ChemPass AI™ successfully identified multiple development candidate molecules and established four collaborations with biotechnology firms and academic institutions, with expectations for further scaling of partnerships to accelerate drug discovery.
- Divestment of Non-Core Assets: Evogene has substantially completed the divestment of non-core subsidiaries, including the sale of Lavie Bio to ICL and licensing Biomica's oncology candidate BMC128 to Lishan Pharmaceuticals, ensuring a focus on assets with significant value potential.
- Enhanced Capital Efficiency: By streamlining its organizational structure and optimizing capital allocation, Evogene has transformed into a more agile and capital-efficient company, committed to creating sustainable long-term value in the small-molecule and agricultural chemical sectors.
- Earnings Release Schedule: Evogene Ltd. will announce its financial results for Q4 and the full year 2025 on March 5, 2026, highlighting the company's ongoing innovation and development in computational chemistry.
- Call Timing and Access: Management will host a conference call at 9:00 AM ET (4:00 PM Israel time) to discuss the financial results, with attendees required to register in advance to obtain the call link.
- Technological Edge: The company's core technology, ChemPass AI™, utilizes a generative AI engine to design novel small molecules, significantly improving success rates while reducing development time and costs, driving innovation in the pharmaceutical and agricultural sectors.
- Strategic Development Focus: Evogene is committed to creating breakthrough products through scientific innovation aligned with real-world industry needs, embodying its strategic approach of
- Financing Agreement Details: Evogene's warrant inducement agreement with an existing institutional investor allows existing warrants to be exercised at $1.00 per share, expected to generate approximately $3.4 million in cash for working capital and general corporate purposes, despite a more than 14% drop in stock price.
- New Warrant Issuance: The transaction includes the immediate exercise of August 2024 Series A and B ordinary warrants, each allowing the purchase of 1,692,308 ordinary shares, with investors receiving new unregistered warrants to purchase an additional 5,076,924 shares at $1.25 each, reflecting the company's proactive financing strategy.
- Collaboration Expansion with Google Cloud: Evogene announced an expanded collaboration with Google Cloud to integrate advanced AI agents into its ChemPass AI platform using Vertex AI, aiming to automate workflows and enhance small-molecule discovery, thereby strengthening its innovation pipeline in pharmaceuticals and agriculture.
- Market Sentiment Analysis: Despite EVGN shares declining over 33% in the past year, retail sentiment on Stocktwits remains in the 'extremely bullish' territory, indicating confidence in the company's future potential despite current challenges.
- Financing Agreement Reached: Evogene has entered into a warrant inducement agreement with an existing institutional investor for the immediate exercise of August 2024 Series A and B warrants, allowing the purchase of a total of 3,384,616 ordinary shares, which is expected to generate approximately $3.4 million in cash flow, enhancing the company's liquidity and operational capacity.
- Warrant Details: The existing warrants will be exercised at a price of $1.00 per share, while the newly issued Series A-1 and B-1 warrants will have an exercise price of $1.25 per share, providing additional funding support for future R&D and market expansion efforts.
- Transaction Timeline: The closing of this transaction is expected to occur on February 11, 2026, subject to customary closing conditions, allowing the company to quickly utilize the funds for strategic investments.
- Compliance and Registration Statement: Evogene will file a registration statement with the SEC to cover the ordinary shares issuable upon exercise of the new warrants, ensuring compliance and paving the way for future capital market activities.
- Financing Agreement: Evogene has entered into a warrant inducement agreement with an existing institutional investor for the immediate exercise of August 2024 Series A and B warrants, allowing the purchase of 3,384,616 ordinary shares, which is expected to generate approximately $3.4 million in cash flow, enhancing the company's liquidity.
- Warrant Details: The existing warrants will be exercised at a price of $1.00 per share, while the newly issued Series A-1 and B-1 warrants will have an exercise price of $1.25 per share, reflecting the company's confidence in future stock performance and providing investors with additional investment opportunities.
- Planned Use of Funds: Evogene intends to use the net proceeds from this transaction for working capital and other general corporate purposes, which will support the company's innovative developments in the pharmaceutical and agricultural sectors, further advancing its
- Exclusive Licensing Agreement: Evogene's subsidiary Biomica has entered into a global exclusive licensing agreement with China's Lishan Biotech for BMC128, a therapy designed to enhance anti-tumor immune activity, marking a strategic collaboration in the microbiome treatment space.
- Clinical Research Progress: BMC128 is currently undergoing Phase 1 clinical studies for renal cell carcinoma and non-small cell lung cancer, with preliminary results indicating excellent safety and tolerability, alongside a high proportion of patients achieving stable disease during treatment, suggesting its potential clinical value.
- Global Development Responsibility: Under the agreement, Lishan Biotech will take charge of the global clinical development, manufacturing, and commercialization of BMC128, which will accelerate the therapy's market introduction and provide Evogene with milestone payments and royalties on future sales.
- Strategic Collaboration Outlook: Lishan Biotech plans to advance BMC128 into Phase 2 clinical studies and pursue regulatory filings in both China and the United States, expected to offer innovative treatment options for cancer patients and further solidify both parties' market positions in the biopharmaceutical sector.










