CAMBRIDGE, MA, Biotechnology company focused on creating more effective, safer therapies for anesthesia and critical care, has raised $8M in a Series A financing.
Annovation Biopharma, a biotechnology company focused on creating more effective, safer therapies for anesthesia and critical care, has raised $8M in a Series A financing led by Atlas Venture, Partners Innovation Fund (PIF), and new strategic investor The Medicines Company (NASDAQ: MDCO).
The funding, which may be expanded up to $11M, is expected to enable pre-clinical development through clinical proof of concept of Annovation's lead, next generation novel anesthetic, based on technology from Dr. Douglas Raines's Laboratory in the Department of Anesthesia, Critical Care, and Pain Medicine at Massachusetts General Hospital (MGH).
"The Medicines Company's funding of Annovation provides access to emerging hospital technology with seed investment and optionality, reserving our research and development investments for our late stage pipeline"
"The early funding of Annovation reflects a unique set of partnerships giving us access to acute care innovators," said David Grayzel, MD, Managing Director of Atlas Venture Development Corp. (AVDC), who will serve as Executive Chairman of Annovation. "We have combined venture creation and virtual development expertise from AVDC, technology from MGH/PIF, and the hospital biopharmaceuticals leadership of The Medicines Company into a company focused on achieving clinical proof of concept in a capital efficient manner."
Annovation's novel agents are designed to allow more precise control of anesthesia and enable safer treatment of patients undergoing surgical procedures. These drugs may also allow patients to emerge from anesthesia and transition from post-operative care more quickly. An initial seed investment last year led by PIF, Mass Medical Angels, and Atlas allowed the nascent technology to quickly proceed to its current stage.
Annovation expects to begin clinical studies in the first half of next year with the objective of demonstrating clinical proof of concept (POC). Upon completion of the POC study, MDCO will have the option to acquire the company at pre-negotiated terms including milestones and royalties.
"The Medicines Company's funding of Annovation provides access to emerging hospital technology with seed investment and optionality, reserving our research and development investments for our late stage pipeline," Scott Johnson, MD, Chief Medical Advisor at MDCO. "With our experience in operating suites worldwide, we are excited by the opportunity this class of agents has for substantially improving patient care and serving our purpose to save lives, alleviate suffering, and improve the economic efficiency of hospitals worldwide."
Joining the Annovation Board of Directors will be Jean-Francois Formela, MD from Atlas Venture, Jason Campagna, MD PhD from The Medicines Company, and Carl Berke, PhD from PIF.
About Atlas Venture
Atlas Venture is a leading early-stage venture capital firm that invests in technology and life sciences companies. Since its inception in 1980, Atlas has helped build over 350 companies in more than 16 different countries. Atlas Venture is currently investing from its eighth fund and manages over $2 billion in capital. For more information, please visit: www.atlasventure.com
About Atlas Venture Development Corp (AVDC)
AVDC is dedicated to developing late preclinical and clinical stage programs through to key value inflection points. Established by Atlas Venture in 2010, AVDC is partnering with pharmaceutical and biotechnology companies using a highly flexible model to establish a portfolio of clinical assets. AVDC's partnership model provides larger organizations the opportunity to pursue alternative approaches to program selection and execution, and furnishes a strategic addition to traditional pipeline development.
About Medicines Company
The Medicines Company (NASDAQ: MDCO) provides medical solutions to improve health outcomes for patients in acute and intensive care hospitals worldwide. These solutions comprise medicines and knowledge that directly impact the survival and well-being of critically ill patients. The Medicines Company's website is www.themedicinescompany.com.
About Partners Innovation Fund
The Partners Innovation Fund, established in 2007, was launched with a total capital commitment of $35 million from Brigham and Women's Hospital and Massachusetts General Hospital. It addresses Partners HealthCare's unmet need for funding of early-stage technology to drive improved medical care for patients. The goal of the fund is to provide the necessary support to commercialize innovations in medical informatics, diagnostics, drugs and devices that emerge from the Partners HealthCare investigator community. Gains from investments are reinvested to fund new opportunities.
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