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Treatment of end stage renal disease (ESRD) accounts for up to 15% of the entire health care budget in the United States, with annual costs estimated at $24 billion. In spite of the enormous socioeconomic burden, renal diseases are dramatically underserved by the pharmaceutical industry in contrast to cancer, cardiovascular disease, neurological diseases and diabetes. The recently determined polygenic etiology of the leading renal diseases and the related difficulty in identifying and validating drug targets and appropriate patient populations, are major hurdles for kidney disease drug development.

NephroGenex is applying the latest advances in molecular profiling technologies to unravel the complex pathologies found in kidney disease, and overcome long standing obstacles for drug development in this field. The Company is acquiring commercial rights to clinical-stage candidates that exhibit activity toward established renal pathology, and determining renal molecular profiles and biomarkers that identify patients that are more likely to respond to therapy. The resulting molecular-based patient stratification can dramatically reduce the cost, time and risk of later stage clinical trials, and improve the prospects for achieving significant treatment effects. The Company is also applying renal molecular profiling to identify and validate novel molecular targets for the leading kidney diseases.