Nido Biosciences announced it will shut down after its lead neurology candidate failed to move the needle in a phase 2 study, ending five years of operation. The company cited the midstage readout as the principal driver of the closure. The shutdown highlights the binary economics of neurotherapeutics midstage trials and the challenge small biotechs face in de‑risking programs sufficiently to attract follow‑on capital or strategic partnerships. Assets, staff and data may be wound down or shopped to potential acquirers.