ALGO Drops 19.05% in 1 Month as Allegro Signs $35M Veterinary Licensing Deal

On NOV 25 2025, ALGO fell 0.14% in the past 24 hours to $0.1436, marking a 0.35% decline over the past week, a 19.05% drop in the last month, and a 57.07% decline year-to-date. The price movement occurred against the backdrop of a major corporate development by Allegro, the biotechnology company behind ALGO.

Allegro Finalizes $35 Million Licensing Agreement with American Regent for Synoglide™ in Equine Osteoarthritis

Allegro NV has signed an exclusive licensing agreement with American Regent, a subsidiary of Daiichi Sankyo, granting the latter the commercialization rights to Synoglide™ in the global veterinary market. Under the deal, Allegro has received an upfront payment and is eligible for milestone and royalty payments totaling up to $35 million. The agreement allows Allegro to retain rights to human applications of the technology, aligning with its focus on clinical development in human degenerative joint disease.

Synoglide™, an injectable hydrogel product based on Allegro’s proprietary INTRICATE nanotechnology platform, is designed for the treatment of osteoarthritis in horses. The company’s CEO, Lucas Decuypere, emphasized the validation of the technology’s potential through the partnership with American Regent, a leading player in animal health.

Product Launch Planned for Early 2026, with Marketing Push in December

American Regent plans to introduce Synoglide™ at the American Association of Equine Practitioners (AAEP) conference in December 2025, a key platform for veterinary professionals. The product is expected to enter the U.S. market in early 2026. Paul Diolosa, CEO of American Regent, described Synoglide™ as a novel solution to a persistent and debilitating condition in animals, underscoring the company’s commitment to innovation in veterinary medicine.

The agreement also includes manufacturing responsibilities for Allegro, with Synoglide™ to be produced in Allegro’s state-of-the-art cleanroom facility. This strategic partnership is expected to enhance Allegro’s financial profile over time, although the immediate impact on ALGO’s price remains unclear given the continued downward trend in the stock.

Focus on Translational Potential in Human Applications

The licensing deal highlights the translational potential of Synoglide™, as horses serve as a well-established model for human joint disease. Allegro’s ability to leverage this cross-species relevance could play a pivotal role in advancing its pipeline for human osteoarthritis treatment. However, the company has not disclosed specific timelines or investment plans for human clinical trials under the current agreement.

While the $35 million deal represents a significant milestone for Allegro, the long-term success of the partnership will depend on Synoglide™’s adoption in veterinary practice, regulatory support, and continued innovation in the field of nanotechnology-based therapies. For now, investors remain cautious, reflected in ALGO’s ongoing price decline.