Kahr Medical, backed by Hadasit Bio-Holdings, a listed portfolio of biotech companies based on intellectual property developed at Israel medical research centre, Hadassah University Hospital, and France-based pharmaceutical group Sanofi, has raised $2.6m at a pre-money valuation of $11m.
Hadasit Bio-Holdings had a 70% stake, while Sanofi had a 20% stake in the business, before the deal.
Thomas Eldered, co-owner of Recipharm, a pharmaceutical company , will invest $2m and take a 15% stake. Sanofiwill maintain its current holdings with an investment of $500,000, while Hadasit Bio-Holdings will invest an additional $100,000 and reduce its holding in the company to approximately 55%.
Ophir Shahaf, chief executive of Hadasit Bio-Holdings, said: “This investment is another significant achievement following a string of strategic agreements that we have recently closed in our portfolio companies.
Forming synergistic collaborations with our partners is a major part of our strategy, and the pre-investment valuations of our recent deals reflect the recognition of value that global pharmaceutical companies give to our portfolio companies. Additional developments – clinical, scientific and strategic – are in progress and are expected to materialize in the coming months, creating substantial value for our shareholders.”
Kahr develops novel drugs for the treatment of cancer and autoimmune diseases.