The drug, known as NIC5-15, has been shown in animal studies to be effective in preventing the formation of amyloid plaques, the Daily Mail reported.
The plaques are believed to coat the brain cells stopping them from working effectively.
The company Humanetics Corporation, which developed the drug alongside researchers from Mount Sinai School of Medicine, have already completed a number of early clinical trials on healthy volunteers, which have shown it to be safe.
NIC5-15 is a natural chemical compound found in fruits such as grape seeds as well as pine cones.
Current Alzheimer's treatments can treat the symptoms of the disease, such as memory loss and mood swings, but do not stop it from progressing.
"With over half a million people in the UK living with Alzheimer's, there is a desperate need for effective treatments. Whereas current drugs only act to relieve symptoms, this drug aims to slow or stop the underlying disease," Dr Simon Ridley, Head of Research at Alzheimer's Research UK was quoted by the paper as saying.
"This would be a huge step forward, but we will only know whether the drug has real benefits for Alzheimer's after it has been rigorously tested in clinical trials," he said.
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