Proteon Therapeutics has completed a second closing of its series B equity financing, securing an additional USD12m and increasing the total equity capital raised in this round to USD50
Proteon Therapeutics has completed a second closing of its series B equity financing, securing an additional USD12m and increasing the total equity capital raised in this round to USD50m.
The additional equity investment came primarily from two new investors, Bessemer Venture Partners and Devon Park Bioventures, as well as from previous investors.
Proteon’s lead product candidate, PRT-201, has received orphan drug designation from FDA for prevention of arteriovenous fistula maturation failure and arteriovenous graft failure in patients with end-stage renal disease who are on or preparing for hemodialysis. Orphan drug designation allows for certain tax credits and an extended period of data exclusivity.
The new developments follow Proteon’s recent announcement of an agreement with Novartis whereby Novartis has been granted an exclusive option to acquire Proteon following the successful completion of a phase 2 clinical study of PRT-201, with a potential secondary right to a global license under pre-agreed conditions.
"We are very pleased and fortunate to add the outstanding firms of Bessemer and Devon Park to our existing syndicate of blue chip investors," says Timothy P. Noyes, president and chief executive of Proteon.
The initial closing of the series B financing in March included new investors MPM Bio IV NVS Strategic Fund and Vectis Healthcare & Life Sciences Fund, along with existing investors TVM Capital, Skyline Ventures, Prism VentureWorks, Intersouth Partners and several of Proteon’s original angel investors.
Earlier this year, Proteon initiated a phase 1/2 human clinical study of PRT201 in patients undergoing surgery for AVF creation. The combination of the Novartis option agreement and the now increased size of the series B financing will allow Proteon to develop PRT-201 beyond completion of an AVF phase 2 clinical study.
