By M. Marin
OTC:AINMF
READ THE FULL AINMF RESEARCH REPORT
AI technology to help drug sponsors optimize development outcomes
Toronto-based NetraMark (OTC:AINMF) is an Artificial Intelligence (AI) company focused on the development of AI and Machine Learning (ML) solutions to support the pharmaceutical industry’s ability to optimize clinical research activities. NetraMark solutions identify specific patient subpopulations that might negatively impact clinical trial outcomes, in turn helping pharma companies derisk clinical trials.
Company’s technology helps derisk clinical trials and boost their efficiency…
NetraMark’s proprietary AI allows the company to help pharma companies derisk clinical trials and increase their efficiency. The billions of dollars spent on clinical activities to attain regulatory approval for a novel therapy highlight the potential of technology that can help derisk and optimize clinical R&D spending, in our view. Initially, the company’s focus is on the CNS (central nervous system) and oncology spaces, where the relative percentages of drugs approved after clinical development is low. Moreover, the oncology segment represents the largest component of clinical R&D spending, according to data from the World Health Organization (WHO). Over time, NetraMark expects to expand its focus to a range of other medical indications.
Cost of clinical development is high; percentage of therapies that attain approval is relatively low
The potential to derisk clinical R&D efforts is particularly important considering the cost of bringing a new therapy to regulatory approval and commercialization. Specifically, the timeline to develop a new drug and commercialize it averages ten to 15 years and incurs a cumulative investment of $2.6 billion, according to PhRMA (the Pharmaceutical Research and Manufacturers of America trade association). Importantly, after initiating clinical activities to advance a new therapy, PhRMA notes that less than 12% of candidates that commence Phase 1 clinical trials are ultimately approved by the FDA.
Company expects technology platform to be a significant competitive advantage for drug sponsors
The company’s technology can help identify patient subpopulations least likely to benefit from the drug candidate and also exclude patient populations most predisposed to placebo effects. The company also recently submitted a request for a Critical Path Innovation Meeting (CPIM) with the FDA, which it believes could potentially accelerate its expected growth prospects.
Company plans to work directly with Pharma & CROs; Partnership with Worldwide Clinical Trials
In April 2025, NetraMark formed a global agreement with leading CRO Worldwide Clinical Trials, which expects to make NetraMark's NetraAI a dedicated solution within its offerings. NetraMark also expects to form additional partnerships with other CROs and pharmaceutical companies.
Worldwide Clinical Trials is a full-service global CRO with a footprint that reaches more than 60 countries. Worldwide has about 30 years of clinical experience. Its focus on neuroscience, oncology, rare diseases, and cardiometabolic and inflammatory disease aligns with NetraMark’s focus on CNS and the oncology space. The two companies believe that leveraging NetraMark's NetraAI platform to identify key patient subpopulations can help Worldwide deliver insights to improve its clients’ clinical activities and enhance trial efficiency.
The addressable market is large — McKinsey places 2022 [pharma] industry R&D spending at $247 billion — and the adoption of AI to facilitate and improve clinical trial efficiencies is growing. The company has a growing pipeline of leads and has already closed five deals with core midsized pharma companies.
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