Belgian-based biopharmaceutical company Cardio3 Biosciences has unveiled a €19m ($24.4) funding round that saw previous investors inject €7m in new equity alongside the conversion of €12m in existing convertible loans.
The formal capital increase was approved at a shareholder meeting and is expected to complete by the end of May 2013.
The fresh capital will allow Cardio3 to further finance the ongoing Phase III trial of its lead product, C-Cure, currently being tested in Europe on patients with congestive heart failure.
Christian Homsy, CEO of Cardio3 BioSciences, said: “The new funding will allow us to proceed with our European Phase III trial in patients with congestive heart failure. We are confident that this study will confirm that C-Cure has the potential to significantly improve the disease course of those very sick patients, and could lead to a paradigm shift in the treatment of heart failure.”
Details of which firms participated in the new funding round have not been disclosed. Previous investors in the company include Hunza Ventures via its Hunza Ventures II fund, Life Sciences Research Partners via its Sofia BVBA vehicle, Tolefi, Umbrella Investments, Avion and the Regional Investment Company of Wallona (SRIW).
Hunza and Life Sciences invested in Cardio3 in January 2009. The series-B round raised €7.2m in equity and also saw new backing from Grifols, the Spanish multinational pharmaceutical and chemical company. Prior to this, Cardio3 reportedly raised €6.4m through private investors, SRIW and research grants.
Private investors collectively own a 45% stake in the company, while Cardio3’s founders hold 18% and its management and employees own 12%. Minnesota-based research hospital Mayo Clinic holds the remaining 25%.