Eevia Health Sells Retinari™ Rights to Havu Health Oy

Eevia Health, a leader in sustainable bioactive compounds, has taken a significant step by selling the intellectual property rights of its promising compound, Retinari™, to Havu Health Oy. Retinari™, a stilbene extract derived from upcycled pine wood, has shown promising pre-clinical results in combating Age-related Macular Degeneration (AMD), a major cause of blindness among the elderly in the U.S. and Europe.

Over the past six years, Eevia has meticulously developed Retinari™, standardizing it for a specific polyphenolic molecule that enhances autophagy and cytoprotective capacity. Despite its potential, the project faced funding challenges, including a rejection from the European Innovation Council Accelerator program and Business Finland. These setbacks led to the decision to transfer commercialization rights to Havu Health Oy, a startup founded by Eevia's CTO, Petri Lackman.

The sale, valued at KEUR 800, represents a strategic move to preserve the project's potential. Eevia will receive shares in Havu Health Oy as part of the transaction, enabling it to maintain a stake in the compound's future commercial success. This transaction also results in a book value gain of KEUR 677 for Eevia.

Havu Health Oy plans to seek development funding and engage with corporate venture funds to bring Retinari™ to market. This move could potentially revolutionize AMD treatment, offering hope to millions at risk of blindness.

For investors, this development presents a nuanced decision-making scenario. Eevia Health's strategic divestment allows it to focus on its core competencies while retaining an interest in Retinari™'s future. Given the potential market impact of Retinari™ and Eevia's innovative approach, a 'hold' recommendation seems prudent. Investors should watch for further developments from Havu Health Oy that could enhance Eevia's stake value.