Kidney biotech R1's $78m debut, and other biofinancings

After a strong start to the year, the value of biotech financings has tailed off a little, but March has seen a clutch of $50 million-plus rounds for R1, Crossbow, Excalipoint, and Prolium.

R1 launches with chronic kidney disease aspirations

Redwood City, California-based start-up R1 Therapeutics emerged onto the scene with a $77.5 million Series A that will help it advance a potentially first-in-class candidate for people living with chronic kidney disease (CKD) who are on dialysis and have high phosphate levels.

Its candidate, a pan-phosphate transporter inhibitor called AP306, is licensed from China's Alebund Pharmaceuticals, and the two companies will collaborate on its global development. A Phase 2b trial is scheduled to start later this year.

The round was co-led by Abingworth and F-Prime Capital, with backing from DaVita Venture Group, Curie.bio, SymBiosis, and US Renal Care.

Crossbow takes aim at T-cell engagers for cancer

Crossbow Therapeutics completed a $77 million second round, earmarked for the funding of an ongoing phase 1 trial of its lead therapeutic candidate CBX-250, a T-cell engager (TCE) targeting an antigen that the company reckons is specific to myeloid cancer cells.

The phase 1 trial is being run in patients with acute myeloid leukaemia, chronic myeloid leukaemia, myelodysplastic syndromes, and chronic myelomonocytic leukaemia, with results due before the end of this year, according to the Cambridge, Massachusetts biotech. Some of the new cash will also go towards ushering a follow-up TCE, CBX-663, into human trials for haematologic and solid tumours. Both TCEs are antibodies that mimic T-cell receptors (TCR-mimetics).

The financing was co-led by Taiho Ventures and Arkin Bio Capital, with participation from new investors Sixty Degree Capital, Hamilton Square Partners Management, LifeLink Ventures, Libbs Ventures, and Blood Cancer United's Therapy Acceleration Programme, along with existing backers.

Excalipoint decloaks with $68.7m seed round

Moving to China, Shanghai-based start-up Excalipoint Therapeutics emerged from stealth with an impressive seed financing round – around $68.7 million – that will fund the development of a portfolio of 'next-generation' candidates for cancer and autoimmune diseases.

That latest part of the two-stage financing was co-led by MPCi and Centurium Capital and supported by Lilly Asia Ventures, Eisai Innovation, Apricot Capital, and 5Y Capital.

The company has a pipeline of six candidates, led by EXP011 (CTM012), a trispecific antibody targeting DLL3, CD3, and 4-1BB, which is being developed for small cell lung cancer (SCLC), neuroendocrine tumours (NETs), and other DLL3-expressing cancers. A phase 1/2 trial is underway, with the first patient dosed last October.

TCE specialist Prolium enters stage left

And in a third TCE-related financing in this round-up, New York's Prolium Bioscience formally launched with a $50 million Series A backed by its founding investor, RTW Investments.

The proceeds of the fundraising will go towards the development of PRO-203, a CD20xCD3 TCE being evaluated as a treatment for severe autoimmune diseases, starting with systemic sclerosis (SSc). Prolium has started a healthy volunteer study to test the safety of single doses of the TCE, and is planning a phase 1/2 trial in SSC that should start within the next few months. An investigator-led study is also testing the drug in patients with systemic lupus erythematosus (SLE) and lupus nephritis.

Prolium has licensed rights to PRO-203 for non-oncology indications globally, and oncology indications outside Asia, from China's KeyMed Biosciences and InnoCare Pharma.

After Novartis alliance, Unnatural adds to its coffers

Fresh from pocketing $100 million upfront from a cardiovascular-focused alliance with Novartis, Unnatural Products (UNP), which focuses on the development of orally-delivered macrocyclic peptide drugs, has raised $45 million in a Series B.

The Santa Cruz, California-based start-up said the additional cash will be used to refine its discovery platform, which lends itself to developing compounds active against targets historically considered 'undruggable', and to bring its in-house pipeline candidates for cardiometabolic, inflammatory, and immunological diseases through early development.

The Venture Collective (TVC) led the round, with participation from argenx, Droia Ventures, and existing investors Merck Global Health Innovation Fund, Artis Ventures, and First Spark Ventures.

Vima upgrades first round as dystonia candidate progresses

Cambridge, Massachusetts-based Vima Therapeutics has added another $40 million to its Series A round, taking the total to $100 million, thanks to buy-in from new investor Frazier Life Sciences and existing backers Atlas Venture, Access Industries, and Canaan Partners.

Vima has also started dosing patients in a phase 2 trial of lead candidate VIM0423 in movement disorder isolated dystonia, and said it now plans to start a second mid-stage trial in Parkinson's disease in the next few months.

VIM0423 is a potential first-in-class once-daily oral treatment designed to selectively target muscarinic cholinergic receptors in the brain. That is an established approach to treating movement disorders, but Vima has designed its candidate to minimise central and peripheral tolerability issues with current drugs. It was found to have a favourable safety profile and was well-tolerated up to and above target doses over 28 days in a phase 1 study.

Mestag adds $40m as it plans to enter the clinic

UK biotech Mestag Therapeutics has taken the total financing it has raised to more than $95 million after completing a $40 million round supported by SV Health Investors, Johnson & Johnson Innovation, Forbion, GV, and Northpond Ventures.

The Cambridge start-up said the proceeds will fund a forthcoming phase 1 trial, called STARLYS, of lead candidate MST-0312, an LBTR-directed bispecific antibody that the company has designed to stimulate an immune response against tumours that have proved difficult to treat with cancer immunotherapies.

In anticipation of becoming a clinical-stage biotech, Mestag has also appointed former Clovis Oncology and 3B Pharma executive Lindsey Rolfe as its chief medical officer, while Pascal Merchiers – formerly of Commit Biologics, Aboleris, and Uncurious – has been named chief development officer.

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