US-based biopharmaceutical company Ataxion has raised $17m in a series A round funded by biotechnology company Biogen Idec and venture capital firm Atlas Venture.
Ataxion is a discovery-stage developer of therapies for neurological diseases. Its lead programme, acquired from Denmark-based biotech company Saniona in July 2013, concentrates on a group of genetic disorders called ataxias that cause dysfunction or degeneration of the cerebellum, the brain’s coordination centre.
In addition to its equity investment, Biogen Idec will also provide additional funding to Ataxion including non-dilutive research and development capital. It will also have the option to acquire Ataxion at a later date in order to continue development of the programme, once the Phase 1 multiple ascending dose study has been completed.
Biogen Idec’s executive vice president of corporate development, Steven Holtzman, and Kevin Koch, its senior vice president of research and development, will join Ataxion’s board of directors alongside reprsentatives from Atlas Venture, in conjunction with the funding.
“Our investment in Ataxion fits perfectly into our mission to bring innovative therapies to people who have severe neurodegenerative diseases and few treatment options,” Holtzman said. “Ataxion’s early research in the area of ataxias is compelling, and we look forward to working with them as this research progresses.”