The Catalan biopharmaceutical company AB-Therapeutics –which has changed its name to Ability Pharmaceuticals- focused in the research and development of novel anticancer drugs, has closed a second financing round for 1 million €. The venture capital firm Inveready Seed Capital has contributed 300.000 €, amount equaled by a soft loan granted by Genoma España, a Spanish Government foundation. The rest of the capital comes from previous shareholders, and new business angels and private investors.
The company, based in the Research Park of the Autonomous University of Barcelona (Universitat Autònoma de Barcelona) will use the funds raised in the preclinical and clinical development of its novel anticancer drug for lung and pancreatic cancer.
“We are very satisfied of the result of the financing round –says Carles Domènech, CEO of AB-Therapeutics- because it will allow us to finish the GLP preclinical development of ABTL0812, our first drug candidate, to file for the IIND/CTA at the Spanish Medicines Agency and to initiate phase Ib clinical trials with cancer patients. The fact that a specialized venture capital firm and well informed private investors have invested in our company show their trust in the development of a drug that has shown significant advantages in the pre-clinical setting compared to conventional chemotherapy: high efficacy in lung and pancreatic cancer, very low toxicity, few adverse events and oral administration.
With this investment, Inveready makes a new step in its diversification strategy, always in technological and high growth sectors. “We have been following AB-Therapeutics since its incorporation and we have a perfect understanding with the managing team and the rest of investors- highlights Roger Piqué, Inveready’s Vice President of Investments-. We believe that investing in a company that is starting in a short time the clinical development of its first product, strengthens our biotechnology portfolio and our will to invest in companies with an important return for society”.
This financing round, opened during the spring, adds funds to the investments made in 2010 by the founders and government funds from CDTI (Government of Spain) and ACC1O (Government of Catalonia). The company leaves the door open for additional private investor willing to participate in the capital of the company.
AB-Therapeutics, SL is a drug research and development company founded in 2009 with headquarters in Bellaterra (Barcelona) within the campus of the Autonomous University of Barcelona and planned US facilities in Boston during 2013. The firm was founded by the biotech company AB-Biotics, Dr. Carles Domenech and Dr. Jordi Espadaler. Since November 2011 AB-Biotics does not own equity in AB-Therapeutics, therefore the company name has been changed to ABILITY PHARMACEUTICALS to highlight its independence.
Ability Pharmaceuticals aims to develop highly differentiated innovative cancer drugs, with a novel mechanism of action, called Lipid Analog Therapeutics. The company has two drug candidates in development: ABTL0812, which is completing preclinical development, with planned phase Ib/IIa clinical trials in lung cancer and pancreatic cancer starting in early 2013; and ABTL1014, expected to start preclinical development in autumn 2012.