Pharmaceutical company Novartis agreed yesterday to invest $15m in Israel-based cellular and immune therapy developer Gamida Cell over the next two years.
Gamida Cell, which is developing treatments for cancer and orphan genetic diseases, will use the cash to advance clinical programmes including NiCord, an experimental treatment for patients with high risk haematological malignancies that Gamida hopes to advance to Phase 3 trials by the middle of 2016.
Novartis, which paid $35m for a 15% stake in Gamida in August 2014, will invest an initial $5m in return for a 2.5% stake, and will supply the other $10m if Gamida closes its next equity round by the end of 2017.
Yael Margolin, Gamida Cell’s president and CEO, said: “This support is testament to the potential of Gamida Cell’s immune therapy platform and its potential to improve outcomes for patients with diseases like leukaemia and lymphoma who need a bone marrow transplant but who do not have a matched related donor.”
Gamida Cell previously raised $16m in a 2006 series D round before adding $10m in 2012. Its other investors include Elbit Imaging, Clal Biotechnology Industries, Israel Healthcare Ventures, Teva Pharmaceutical Industries, Denali Ventures and Auriga Ventures.