What STERO Biotech does

STERO Biotechs Ltd. is a privately held, clinical-stage biopharmaceutical company founded in 2017 and headquartered in Bnei Brak, Israel. The company is developing a single proprietary drug candidate, ST-101, based on Cannabidiol (CBD) — a non-psychotropic component of Cannabis sativa with immunomodulatory and anti-inflammatory properties. ST-101 is positioned as a steroid-sparing adjunct, intended to either enhance the therapeutic effect of corticosteroids, reduce the steroid dose required, or mitigate steroid-related side effects in patients with autoimmune and inflammatory diseases.

The company's pipeline is anchored by a foundational Phase 2 clinical trial in Graft Versus Host Disease (GVHD) that demonstrated CBD significantly reduces steroid requirements while arresting or curing disease. On that basis, STERO has expanded into multi-center Phase 2a trials in steroid-dependent Crohn's disease (initiated Q1 2020), chronic urticaria (Q3 2020), and severe COVID-19 (Phase 1/2 completed Q1 2021). The company holds a granted US patent (August 2018) covering CBD-based steroid-sparing therapy across over 130 autoimmune and inflammatory diseases.

STERO generates no commercial revenue and operates with 1-10 employees. Its business model will eventually rely on pharmaceutical product sales or licensing of ST-101 upon regulatory approval. The company is strategically partnered with Mor Research Applications, the technology transfer arm of CLALIT Health Services — Israel's largest HMO with 4.5M+ members, 14 hospitals, and 2,000+ clinics — providing access to clinical infrastructure, key opinion leaders, and patient populations for trials and future Israeli commercialization. The company is also a member of the Cannabis Innovation Center (CIC) consortium. No disclosed funding rounds exist, and the company appears to operate on founder capital and partnership support.

Name

STERO Biotech

Legal name

STERO Biotechs Ltd.

Website

https://sterobiotechs.com

Company type

Private

Founded year

2017

Operating status

Operating

Headcount range

1–10 employees

Short description

STERO Biotechs Ltd. is a clinical-stage Israeli biopharmaceutical company developing ST-101, a CBD-based steroid-sparing therapy for autoimmune and inflammatory diseases including Crohn's disease, chronic urticaria, GVHD, and severe COVID-19, partnered with Mor Research Applications and CLALIT Health Services.

Ownership category

akta.pro rank

Product category

Cannabinoid Biopharmaceuticals

NAICS

Research and Development in Biotechnology (except Nanobiotechnology) (541714), Pharmaceutical Preparation Manufacturing (325412)

SIC

Pharmaceutical Preparations (2834)

akta.pro primary industry

Gastroenterology Specialty Pharmaceuticals (HLAIACAE)

Keywords

• Cannabinoid therapeutics
• Steroid sparing drugs
• Inflammatory disease treatments
• Clinical stage biopharmaceuticals
• Autoimmune disease therapies

Headquarters

HQ city

Tel Aviv

HQ country

Israel

HQ region

Middle East

Offices1 record

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Technology or R&D, Personnel, Operations, Marketing or Sales

Revenue model

1. Pharmaceutical Product Revenue: STERO Biotech is a clinical-stage company. The company is developing ST-101, a CBD-based product targeted for steroid sparing in multiple indications. Revenue model will be through pharmaceutical product sales upon regulatory approval. Currently conducting clinical trials in Crohn's disease, chronic urticaria, and severe COVID-19.

Go-to-market motion1 record

Distribution channels1 record

Marketing channels2 records

Core offering

STERO Biotech is a clinical-stage biopharmaceutical company developing ST-101, a Cannabidiol (CBD)-based drug candidate designed for steroid-sparing applications across multiple inflammatory and autoimmune disease indications. The product leverages CBD's immunomodulatory and anti-inflammatory properties to either enhance the therapeutic effect of steroids or reduce required steroid dosage while maintaining treatment efficacy. The company is currently advancing ST-101 through Phase IIa clinical trials in steroid-dependent Crohn's disease and chronic urticaria, and has completed a Phase I/II trial in severe COVID-19.

Product overview

STERO Biotech is a clinical-stage biopharmaceutical company developing a single proprietary CBD-based drug product, ST-101, designed for steroid-sparing applications across multiple inflammatory and autoimmune diseases. The product is undergoing Phase IIa clinical trials in steroid-dependent Crohn's disease, chronic urticaria, and severe COVID-19. The company's treatment approach uses Cannabidiol (CBD), a non-psychotropic component of Cannabis sativa, to either enhance the therapeutic effect of steroids, reduce steroid dosage requirements, or reduce steroid-associated side effects in patients.

Differentiator

Problem solved

Functional benefit

Products and services

• ST-101 ST-101 is a CBD-based drug candidate targeted for steroid sparing in multiple inflammatory and autoimmune disease indications. It leverages the immunomodulatory and anti-inflammatory properties of Cannabidiol (CBD) to either enhance steroid therapeutic effects or reduce required steroid dosage while maintaining treatment efficacy. Currently undergoing Phase IIa clinical trials in steroid-dependent Crohn's disease, chronic urticaria, and severe COVID-19.

Quantifiable outcome

• CBD administration enhanced therapeutic effect of steroids or reduced steroid dosage while maintaining or improving original therapeutic effect in GVHD trial
• +3 more outcomes

Segments5 records

Ideal customer profiles2 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature1 record

Partnerships

Three partnerships are on record, tiered core and minor.

• Mor Research Applications LtdcoreStrategic or Co-development Partner · 1 January 2017Mor Research Applications is the technology transfer arm of CLALIT Health Services, established in 1994. The company has handled over 300 patent applications and established over 50 portfolio start-up companies in pharmaceuticals, medical devices, diagnostics, and digital health. This strategic partnership provides STERO with proximity to Israel's leading research and clinical centers, direct access to collaboration with leading KOLs and physicians, and insider access to Israel's innovation and IP generation centers. STERO was established in partnership with Mor Research Applications in 2017.
• CLALIT Health ServicescoreStrategic or Co-development PartnerCLALIT Health Services is the largest HMO in Israel with over 4.5M members, operating over 2,000 community clinics and 14 full-scale hospitals. CHS has 32,000 employees including over 9,000 physicians. This partnership provides STERO direct access to clinical infrastructure, patient populations for trials, and medical expertise across all fields of medicine.
• The Cannabis Innovation Center (CIC)minorStrategic or Co-development PartnerSTERO is a member of the Cannabis Innovation Center (CIC), a group of IP-protected startup companies in the biotech space with emphasis on Cannabis development. CIC includes companies such as Stero Biotechs, CannaLean Biotechs, CannaMore Biotechs and others, providing a competitive advantage in pharma and drug development areas.

Scale indicators6 records

Recent moves6 records

Expansion highlights5 records

Broad incumbents

• Canopy Growth Corporation: Global cannabis company with a dedicated pharmaceutical and cannabinoid drug development arm. Comparable as a well-capitalized incumbent in the cannabis-pharma convergence space.
• Tilray Brands: Large cannabis company with a pharmaceutical division developing cannabinoid-based prescription products. Comparable as a broader incumbent in cannabis-derived pharma with significantly greater capital and commercial infrastructure than STERO.

Direct peers

• GW Pharmaceuticals (Jazz Pharmaceuticals): Pioneer in CBD-based prescription drugs (Epidiolex for rare epilepsies); acquired by Jazz Pharmaceuticals in 2021. Most directly comparable as a cannabinoid-derived pharmaceutical developer that took a CBD asset through FDA approval and global commercialization.
• Kalytera Therapeutics: Acquired the original CBD-for-GVHD IP from STERO's founders (Moshe Yeshurun et al.). Directly comparable as a clinical-stage cannabinoid pharmaceutical company pursuing steroid-sparing and anti-inflammatory indications, sharing scientific lineage with STERO.
• Corbus Pharmaceuticals: Clinical-stage developer of cannabinoid-derived therapeutics (Lenabasum) targeting autoimmune and inflammatory diseases including systemic sclerosis and dermatomyositis. Closely comparable business model, mechanism, and indication strategy to STERO.

Emerging players

• Emerald Health Pharmaceuticals: Clinical-stage cannabinoid-derived pharmaceutical developer for inflammatory and CNS indications. Comparable in stage, therapeutic approach (cannabinoid chemistry), and indication strategy to STERO.
• AIM ImmunoTech: Clinical-stage immunology company with a focus on severe COVID-19 and inflammatory indications. Comparable as a small-cap clinical-stage biopharma targeting steroid-dependent inflammatory disease states, overlapping with STERO's COVID and autoimmune programs.
• CannaMore Biotechs: Israeli cannabis biotech startup within the same Cannabis Innovation Center (CIC) ecosystem as STERO, with shared operational leadership (COO Guy Defrin). Comparable as a regional, early-stage cannabis-pharma peer with shared infrastructure and talent.
• Tetra Bio-Pharma: Canadian clinical-stage cannabinoid pharmaceutical company developing cannabinoid-derived prescription drugs for inflammatory and pain indications. Comparable as a small-cap, clinical-stage cannabinoid pharma pursuing regulated drug pathways.

Others

• Mor Research Applications: Technology transfer arm of CLALIT Health Services and STERO's founding strategic partner. Comparable as a key ecosystem enabler and pipeline generator for Israeli biotech, including the formation of STERO itself.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

• LinkedInlinkedin.com/company/stero-biotechs

Revenue estimate

Valuation estimate

Number of profiles

Profiles7 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about STERO Biotech