Cofactor Genomics, a US-based startup developing precision medicine treatments for cancer, closed an oversubscribed $18m series A round yesterday featuring healthcare provider Ascension Health and legal firm Wilson, Sonsini, Goodrich & Rosati.
Venture capital firm Menlo Ventures led the round, which included health insurance provider iSelect, VC fund Data Collective, accelerator Y Combinator and Stanford University, while Ascension participated through its strategic investment unit, Ascension Ventures.
Cofactor Genomics is developing precision cancer treatments based on information from RNA, the nuclear acid within living cells responsible for controlling protein synthesis.
The startup is preparing to launch two initial products recently sanctioned by US regulators: Pinnacle, which will probe 600 RNA biomarkers known to react with targeted therapeutics, and Paragon, which will provide immuno-oncologists with an RNA-based assay for studying cell proteins.
Cofactor originally expected to raise $15.1m from the round following a $10.7m first close achieved in June 2017. It also received a $1.5m grant from the National Institute on Drug Abuse’s Phase II Small Business Innovation Research scheme in July 2015.
John Kuelper, investment director at Ascension Ventures, will join Cofactor’s board of directors, along with Mark Siegel of Menlo Ventures and Matt Ocko of Data Collective.
Kuelper said: “Targeted therapeutics have advanced so rapidly that today it is impossible to follow oncology best practices without embracing precision medicine.
“While next-generation sequencing has already revolutionised clinical DNA analysis, the practical and computational challenges of multiplexed clinical RNA analysis have relegated this technology to research settings.”