GYEONGGI-DO, Korea & GERMANTOWN, Md.--(BUSINESS WIRE)--D&D Pharmatech Inc., a clinical-stage biotechnology company focused on development and commercialization of revolutionary medicines, and parent company of U.S.-based Neuraly Inc., Precision Molecular, Inc. and Theraly Fibrosis Inc., today announced that it has completed a $137.1 million Series B round of financing from U.S. and Korean investors.
The financing was led by U.S.-based Octave Life Sciences and included major Korean venture funds Smilegate Investment as co-lead, along with InterVest, Magna Investment and LB Investment, all Series A investors. Individual shareholders/co-founders and employees from U.S. and Korea also participated in this financing. The new round of financing adds to the $16.6 million the company secured in March, 2018.
Proceeds will be used by Neuraly to advance a clinical candidate targeting neurodegenerative diseases into Phase II studies, by Precision Molecular to advance several neuroinflammation imaging agents into Phase I and Phase II trials, and by Theraly to advance a preclinical candidate targeting fibrosis into a Phase I/II trial.
“With this funding, we will continue executing on our strategy to develop truly novel approaches to treat challenging diseases with significant unmet need,” said Dr. Sung Mook Lim, Chief Executive Officer of D&D Pharmatech. “The Johns Hopkins-based scientific leadership across our family of companies has been instrumental in elucidating the underlying mechanisms at the core of neurodegenerative and fibrotic diseases. Leveraging these insights, our teams have identified potentially game-changing therapeutics based on the central hypotheses for these conditions. The combination of deep, disease-specific expertise, our world-class drug development capabilities and additional funding will enable ongoing advancement of our clinical and preclinical programs. We remain grateful for the confidence and enthusiasm of our investors.”
Neuraly’s lead asset is NLY01, a potent, long-acting glucagon-like peptide-1 receptor (GLP-1R) agonist. NLY01 is being developed as an agent with the potential to slow the progression of neurodegenerative disorders including Parkinson’s disease and Alzheimer’s disease through inhibition of microglial activation and the resulting neuroinflammation. Phase II clinical trials for Parkinson’s and Alzheimer’s are expected to be initiated in 2019 and 2020, respectively.
Precision Molecular is advancing four clinical stage and one IND-enabling stage PET imaging agents for early detection and management of neuroinflammation in Alzheimer’s and Parkinson's patients. Clinical agents include those targeting proteins expressed in activated microglia and proteins involved in neuroinflammation. Non-invasive imaging of these cells and proteins may provide a direct approach to test new medications such as NLY01 for the therapeutic potential to reduce microglia-associated neuroinflammation and help identify early stage and asymptomatic patients. The Company aims to receive the first-ever FDA approval for such agents and open up new opportunities for the diagnostic market.
Theraly Fibrosis’ lead candidate, TLY012, selectively targets myofibroblasts, cells believed to be the critical originators of fibrosis, a condition that affects a variety of tissues. TLY012 reversed established fibrosis in preclinical models of the disease in liver, pancreas and skin and has the potential to cure fibrotic diseases, including systemic sclerosis, liver fibrosis/cirrhosis, and chronic pancreatitis, as well as fibrosis-driven cancers. Phase I/II trials are expected to be initiated in 2020 for chronic pancreatitis and NASH/liver fibrosis.
About D&D Pharmatech
D&D Pharmatech is a clinical-stage global biotech company that funds the development of revolutionary medicines through disease-specific subsidiary companies founded and guided by top-tier medical research faculty. This corporate structure creates a unique opportunity to accelerate translation of cutting-edge research into lifesaving therapeutic products for patients. The company’s product pipeline focuses on a range of indications including neurodegenerative and fibrotic diseases. D&D Pharmatech is the parent company of U.S.-based Neuraly Inc., Theraly Fibrosis Inc., and Precision Molecular Inc. For more information, please visit http://www.ddpharmatech.com/.