NextCure Reports Decreased Losses and Announces Merger with Avere Therapeutics

NextCure, Inc. reported its financial results for the second quarter of 2026, revealing a net loss of $14.9 million, a decrease from the $26.8 million loss recorded in the same period of 2025. For the first half of 2026, the company reported a net loss of $24.7 million, down from $37.8 million in the prior year. The reduction in losses is attributed to a significant decrease in operating expenses, which totaled $15.1 million for the quarter, compared to $27.3 million in the previous year. This decline was primarily driven by a reduction in research and development expenses, which fell to $7.4 million from $24.1 million, largely due to the absence of a $17 million license fee incurred in the prior year.

As of June 30, 2026, NextCure's total assets were reported at $22.6 million, a significant decrease from $50.2 million at the end of 2025. The decline in assets was primarily due to a reduction in cash and cash equivalents, which decreased to $15.3 million from $26 million. The company’s accumulated deficit also increased to $461 million, reflecting ongoing operational losses since its inception. The company’s current liabilities decreased to $6.4 million from $10.6 million, indicating a reduction in short-term financial obligations.

Strategically, NextCure announced a definitive merger agreement with Avere Therapeutics on July 14, 2026, which is expected to close in the second half of 2026, subject to stockholder approval. This merger is anticipated to result in a reverse merger where Avere equity holders will own the majority of the combined entity. Concurrently, Avere is expected to raise approximately $320 million in a private financing round, which will provide significant capital to the combined company. The merger represents a strategic shift for NextCure, as it plans to wind down certain legacy operations and focus on the combined company’s future direction.

In terms of operational developments, NextCure has opted out of continued investment in its LNCB74 co-development program, transferring full responsibility for the program to LigaChem Biosciences. The company has also ceased new patient enrollment in its SIM0505 clinical trial, although it continues to support existing patients. The restructuring plan associated with the merger is expected to result in a substantial workforce reduction, with estimated one-time charges of approximately $2.4 million related to severance and other costs.

Looking ahead, NextCure's management has indicated that the company will need to secure additional funding to support its operations beyond the fourth quarter of 2026. The completion of the merger with Avere Therapeutics is seen as a critical factor in improving the company’s liquidity position. However, there remains substantial doubt regarding NextCure's ability to continue as a going concern if the merger does not proceed as planned. The company is actively exploring strategic alternatives for its legacy assets while managing its ongoing obligations.