Aspen Neuroscience IPO: how the business makes money

Aspen Neuroscience has no customers yet: money from investors pays for research and a clinical trial of a Parkinson's therapy made from each patient's own cells.

• 01No one pays Aspen Neuroscience today. It has no approved product and reported $0 of revenue in FY2025 and in the six months to Jun 30, 2026.
• 02Operating expenses were $59.3 million in FY2025, with $41.8 million going to research and development. The net loss was $62.1 million.

New shares sold by the company

$141M · 9.38 million shares

Listed on

Nasdaq

Ticker

ASPE

Lock-up on existing holders

180 days

Listing date (as stated)

Oct 30, 2026

• 01All the money goes to the company. After underwriting discounts and estimated expenses, the prospectus estimates net proceeds of about $125.8 million.
• 02The underwriters could buy up to 1,406,250 more shares from the company within 30 days of the prospectus date. The Nov 2, 2026 8-K mentions only the 9,375,000 shares.
• 03The new shares equal 32.2% of the 29,078,600 shares outstanding after the offering (Cityfort calculation from the 424B4 filed Oct 30, 2026).
• 04Existing holders bought part of the deal: Forms 4 show OrbiMed and ARCH funds bought 2,333,333 shares at $15.00. That is 24.9% of the offering (Cityfort calculation from the 424B4 and the Forms 4 filed Nov 2 and Nov 4, 2026).
• 05Nasdaq's table shows the first trade on Oct 30, 2026, with an open of $14.70 and a close of $14.89. The close on Nov 4, 2026 was $12.76.

Aspen Neuroscience, its officers and directors, and substantially all its securityholders agreed not to sell for 180 days after the prospectus date, with exceptions. Leerink Partners, Piper Sandler, Stifel and UBS can consent to earlier sales.

Lead underwriters

Leerink Partners LLC, Piper Sandler & Co., Stifel, Nicolaus & Company, Incorporated, UBS Securities LLC, Oppenheimer & Co. Inc.

Transfer agent

Odyssey Transfer and Trust Company

Source: Form 424B4 final prospectus, initial public offering (dated Oct 29, 2026); Form 8-K, IPO closing and charter effective (Nov 2, 2026); Nasdaq historical prices, ASPE, Oct 30 to Nov 4, 2026 and 4 more

Learn: How to read an S-1: Anthropic's IPO registration statement · IPO lock-up agreements: what they are and when they end

• Start and fund a Phase 3 trial of sasineprocel in sporadic and genetic Parkinson's diseasePhase 3 is the large, late-stage kind of trial. The company says it plans to start it before the ASPIRO trial finishes.$110M
• Keep funding the Phase 1/2a ASPIRO trial of sasineprocel$8M
• Keep funding the microglia programs, including studies needed before a first human trial$4M
• Working capital and general corporate purposesThe prospectus says the remainder goes here and gives no figure. About $3.8 million is left (Cityfort calculation from the 424B4 filed Oct 30, 2026: $125.8 million minus the three items above).Amount not fixed

The company says it will use the proceeds together with existing cash, and may also license or buy technologies, with no commitments so far. It says this money will not be enough to finish ASPIRO, Phase 3 or the development of any candidate.

Only the shares the company sells raise money for it; money from shares sold by existing stockholders goes to them.

Learn: IPO lock-up agreements: what they are and when they end

• Sasineprocel (not approved)

  A skin biopsy becomes stem cells, then early-stage dopamine brain cells, which surgeons inject into both sides of the brain. The FDA has not approved it.

• Microglia programs (preclinical)

  A second program for leukodystrophies, rare brain diseases in children. The company's prospectus dated Oct 29, 2026 says it expects to start studies in the second half of 2027. These studies are needed before a first human trial.

• Customers

  0%

  of revenue

  None yet. Aspen Neuroscience reported $0 of revenue in FY2024, FY2025 and the six months to Jun 30, 2026. Any sale would first need FDA approval.

1. 1Revenue was $0 in FY2025, so there is no $100 of revenue to split. Interest on cash and securities brought in $1.8 million.
2. 2Research and development took $41.8 million, after a $2.8 million CIRM offset. The filing says non-personnel research spending was substantially all sasineprocel.
3. 3General and administrative costs took $17.5 million. Total operating expenses and the operating loss were both $59.3 million.
4. 4A $4.5 million non-cash loss came mainly from a lower fair value on a note Aspen Neuroscience holds from supplier Cell X.
5. 5That left a net loss of $62.1 million. Stock sales pay for the gap: financing brought in $115.5 million of cash in FY2025.

• Outside money

  Cash used in operations was $52.8 million in FY2025 and $34.5 million in the six months to Jun 30, 2026. The company's prospectus dated Oct 29, 2026 says it will need substantial further funding after the IPO.

• Patient cells and a long production run

  Each dose starts from one patient's skin biopsy. The stages take about 3, 8 and 5 weeks, with 4 to 5 weeks of quality testing per stage, per the prospectus.

• Licensed technology

  Licenses from Scripps, iPS Academia Japan, Sumitomo and RACTHERA, and Cleveland Clinic underpin its methods. The Scripps license carries a 1.0% royalty.

• Specialist suppliers

  Cell X provides an automation platform, Mytos automated culture devices and ClearPoint Neuro the delivery cannula. The prospectus says some materials come from sole or single sources.

• Sites and people

  120 full-time employees at Jun 30, 2026, 88 of them in research and development. The headquarters lease of about 31,000 square feet runs to September 2027; a La Jolla lease of about 48,696 square feet starts Jul 1, 2027.

• Abbott, Boston Scientific, Medtronic

  Sell deep brain stimulation devices for advanced Parkinson's disease: Infinity and Liberta RC, Vercise, and Percept, per the prospectus.

• Insightec

  Makes Exablate Neuro, a focused ultrasound treatment named in the prospectus.

• Hope Bio, Oryon

  Developing therapies from a patient's own cells, the same broad approach as Aspen Neuroscience, per the prospectus.

• BlueRock (Bayer), Sumitomo and others

  Developing therapies from donor cells. Sumitomo's AMCHEPRY is approved in Japan. The prospectus also names Cellular Intelligence, Kenai, iRegene, S.Biomedics and Xellsmart.

• AskBio (Bayer), MeiraGTx, Prevail

  Developing gene therapies for Parkinson's disease, per the prospectus.

• Genetix, Minoryx, Viking, Poxel

  Named in the prospectus as competitors in leukodystrophies, the target of the microglia programs. Genetix sells Skysona.

• Phase 3 of sasineprocel

  Early

  About $110.0 million of net proceeds planned (prospectus)

  The company's prospectus dated Oct 29, 2026 says it expects a single sham-controlled trial with an 18-month main endpoint. It says that follows preliminary FDA discussions. A sham procedure stands in for the real one in the comparison group.

  Status: Early, too early to judge.

• ASPIRO trial

  Early

  15 people dosed by Aug 18, 2026; 12 with at least six months of data (prospectus)

  The company's prospectus dated Oct 29, 2026 says it plans to add 3 to 6 people with genetic Parkinson's disease. It also expects further long-term data in the first half of 2028.

  Status: Early, too early to judge.

• Microglia programs

  Early

  About $4.0 million of net proceeds planned (prospectus)

  For leukodystrophies, rare brain diseases in children. The company's prospectus dated Oct 29, 2026 says it expects to start studies in the second half of 2027. These studies are needed before a first human trial.

  Status: Early, too early to judge.

• Manufacturing scale

  Early

  Design template of about 5,000 square feet of cleanroom (prospectus)

  The company's prospectus dated Oct 29, 2026 says the aim is to supply "hundreds of patients annually" from that template. It is also developing automation with Cell X and Mytos.

  Status: Early, too early to judge.

Status compares progress with what the company itself said it would do: Working = on track against what the company said; Mixed = partly on track; Behind = behind the company's own plan; New = recently announced; Early = too early to judge.

EBITDA here = operating income plus depreciation and amortization (from the cash flow statement). Fiscal years are the company's own (December 31). Net profit is the share belonging to the company's owners.

Aspen Neuroscience says in its 424B4 that it is an emerging growth company, so the filing gives two audited years instead of three.

Learn: Stock-based compensation and dilution: pay that becomes shares

• Net cash of $72.4 million is a Cityfort calculation from the 424B4 filed Oct 30, 2026: cash and marketable securities minus no borrowings. Operating lease liabilities of $9.8 million are not counted as debt here.
• Net worth was −$251.1 million because $338.8 million of convertible preferred stock sat outside stockholders' equity until it converted at the IPO.
• Adjusted for the offering and the conversion, the prospectus's pro forma figures show $198.2 million of cash and marketable securities at Jun 30, 2026. Stockholders' equity on that basis is $213.5 million.
• A loan agreement of December 2022, for $15 million plus up to $25 million more, expired undrawn in November 2025, per the prospectus.
• The prospectus dated Oct 29, 2026 says the company has never paid cash dividends and does not expect to in the foreseeable future.

Officers and directors (as a group), shares

21.2%

From the prospectus table of principal stockholders. Holdings fall after the IPO when new shares are sold; the prospectus also shows the holding after the offering.

• Damien McDevitt, Ph.D.

  Chief Executive Officer · since 2021

  Total pay in 2025 was $3,757,741, per the prospectus.

• Faheem Hasnain

  Executive Chairman · since 2026

  Also Chairman and Chief Executive Officer of Gossamer Bio.

• Dalen Meeter

  Chief Financial Officer · since 2025

  Total pay in 2025 was $2,098,147, per the prospectus.

• Lisa Johnson-Pratt, M.D.

  Sasineprocel Development Lead and Chief Commercial Officer

• Kim Raineri

  Chief Technology Officer

  Total pay in 2025 was $1,208,835, per the prospectus.

• Jeffrey Boerneke

  General Counsel

• Thomas Daniel, M.D.

  Director · since 2020

  The prospectus biography says he was a Venture Partner at ARCH Venture Partners from Oct 2016 through Jun 2021. Its related-party footnote says he "is a Venture Partner" of ARCH Venture Partners, LLC. The ARCH entities designated him to the board as a representative of Series A preferred holders.

• Douglas Fisher, M.D.

  Director · since 2022

  Partner at Revelation Partners, a venture capital firm.

• Cindy Perettie

  Director · since 2025

  Head of Kite Pharma, a Gilead Sciences subsidiary. Gilead held 8.4% before the IPO.

• Caryn Peterson

  Director · since 2021

  Chief Development Officer at Gossamer Bio since May 2026.

• Andrew Spaventa

  Director · since 2020

  Managing Partner at Axon Ventures, a venture capital firm.

• Peter A. Thompson, M.D.

  Director · since 2020

  Partner at OrbiMed Advisors. OrbiMed held 13.1% before the IPO.

Auditor

Ernst & Young LLP, since 2020

Auditor changes

None in the period covered

Audit qualifications

None reported

Related-party dealings

Holders of more than 5% and entities linked to directors bought Series C preferred stock in 2025. In 2026 the company forgave notes owed by three officers and directors. Relatives of two executives work there.

Credit rating

No public credit rating found

• Forms 4 show OrbiMed bought 1,000,000 IPO shares and ARCH funds 1,333,333 at $15.00 on Nov 2, 2026. Peter Thompson of OrbiMed and Thomas Daniel, linked to ARCH, are directors.
• Holders of more than 5% and entities linked to directors bought Series C preferred stock in late 2025. The round raised about $115.6 million in gross proceeds.
• The company forgave about $2.1 million of notes owed by the CEO in 2026. It forgave $243,478 owed by two directors (Cityfort calculation from the 424B4 filed Oct 30, 2026). The company's prospectus dated Oct 29, 2026 says it expects about $1.8 million of non-cash expense from this in Q3 2026.
• The CEO's son and Dr. Johnson-Pratt's daughter work at the company. The prospectus dated Oct 29, 2026 says their 2026 pay is expected to be about $142,000 and $161,000.
• The Voting Agreement among pre-IPO holders ends at the closing of the offering, per the prospectus.

Cases are listed as the offer document describes them. A pending case is an allegation until a court or regulator decides it.

• Concentration

  Only one main candidate

  The prospectus says the business depends on sasineprocel. Its other work, the microglia programs, gets about $4.0 million of the planned proceeds and has not reached human trials.

  Watch Whether sasineprocel enters Phase 3 as the company has stated.

• Technology

  Early data with no comparison group

  ASPIRO is open-label with no placebo or control, and 15 people were dosed by Aug 18, 2026. The prospectus says such results may not predict later trials.

  Watch Design and results of the planned sham-controlled Phase 3 trial.

• Cash and liquidity

  More money is needed

  The prospectus dated Oct 29, 2026 says proceeds and cash will not finish ASPIRO, Phase 3 or any candidate's development. Operations used $52.8 million of cash in FY2025.

  Watch Cash and marketable securities in each Form 10-Q. The company's prospectus dated Oct 29, 2026 states a runway into the second half of 2028.

• Regulation

  No approval yet

  Any sale needs FDA approval first. RMAT and Fast Track designations do not ensure a faster review or raise the odds of approval, per the prospectus.

  Watch FDA feedback on the Phase 3 design, as the company reports it.

• Execution

  Making one dose per patient

  Each dose comes from one patient's cells through a new process with stages of about 3, 8 and 5 weeks. The prospectus warns of possible failures or delays.

  Watch Progress on automation and the La Jolla lease that starts Jul 1, 2027.

• Concentration

  Sole-source suppliers

  The company relies on sole sources for its stem-cell reprogramming kit and key platforms. An FDA clinical hold from January to August 2023 concerned syringe information, and syringe design later delayed dosing.

  Watch Any supply or device delay reported in later filings.

• Legal

  Patents and licenses held by others

  Licenses underpin manufacturing. The prospectus dated Oct 29, 2026 says third-party patents may cover certain methods it may use. The company says it expects them to expire before any launch and is developing alternatives.

  Watch Changes to the Scripps, iPS Academia Japan, Sumitomo and Cleveland Clinic licenses.

• Competition

  Rivals already on the market or better funded

  Abbott, Boston Scientific and Medtronic sell deep brain stimulation devices. Sumitomo's AMCHEPRY is approved in Japan. The prospectus says some competitors are better funded or further along.

  Watch Approvals and trial results named competitors report.

• Going-concern doubt without the IPO money

  The prospectus dated Oct 29, 2026 says existing cash alone would not fund 12 months, raising "substantial doubt". It says that with the proceeds, the company can fund operations into the second half of 2028.

• Immediate dilution

  The prospectus says buyers at $15.00 face immediate dilution of about $7.66 a share. Net tangible book value, assets minus liabilities, is $7.34 a share on its pro forma as adjusted basis.

• Large holders keep influence

  Officers, directors and holders of more than 5% would own about 44% after the offering, before any IPO purchases, per the prospectus. It says they could significantly influence matters put to a vote.

• Existing holders bought IPO shares

  The prospectus warns that purchases by existing holders may reduce the shares available to trade. Forms 4 report 2,333,333 such shares bought at $15.00 on Nov 2, 2026.

• Shares free to sell when the lock-up ends

  The prospectus lists 19,703,600 restricted shares, substantially all under the 180-day lock-up (what this means)lock-upA period after an IPO when insiders agree not to sell their shares. Learn more. It says sales, or the perception of sales, could lower the trading price.

• Share price swings and no dividends

  The prospectus warns the trading price may be volatile. The prospectus dated Oct 29, 2026 says the company has never paid cash dividends and does not expect to in the foreseeable future.

What does Aspen Neuroscience do?

Aspen Neuroscience, Inc. is a San Diego biotechnology company developing sasineprocel, a one-dose cell therapy for Parkinson's disease made from each patient's own cells. It had no approved product as of its prospectus dated Oct 29, 2026.

How does Aspen Neuroscience make money?

Aspen Neuroscience does not make money yet. It reported $0 of revenue in FY2025 and in the six months to Jun 30, 2026, because it has no approved product. Selling stock has paid for its work.

Is Aspen Neuroscience profitable?

No. Aspen Neuroscience had a net loss of $62.1 million in FY2025, up from $48.6 million in FY2024. Its net loss was $36.5 million in the six months to Jun 30, 2026, and its FY2025 operating loss was $59.3 million.

Who are Aspen Neuroscience's customers?

Aspen Neuroscience had no customers as of Oct 29, 2026, because it had no approved product and no sales force. Before its IPO it raised about $340 million in gross proceeds by selling preferred stock.

What is sasineprocel?

Sasineprocel is Aspen Neuroscience's main drug candidate, an investigational one-dose therapy made from a patient's own skin cells and injected into both sides of the brain. By Aug 18, 2026, 15 people had received it in the open-label Phase 1/2a ASPIRO trial.

How big is Aspen Neuroscience?

Aspen Neuroscience had 120 full-time employees and $72.4 million of cash and marketable securities at Jun 30, 2026, before its IPO. Its FY2025 operating expenses were $59.3 million, and it reported no revenue.

Who owns Aspen Neuroscience?

At Sep 15, 2026, before the IPO, Aspen Neuroscience's prospectus shows OrbiMed at 13.1%, ARCH Venture Fund X entities at 12.3% and Gilead Sciences at 8.4%. Officers and directors as a group held 21.2%, including OrbiMed's shares.

What is the Aspen Neuroscience IPO?

Aspen Neuroscience sold 9,375,000 new shares at $15.00 each, $140.6 million in total, per its prospectus dated Oct 29, 2026. The shares trade on Nasdaq as ASPE, and the offering closed on Nov 2, 2026. No stockholder sold shares.

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