Investors including pharmaceutical firms Merck & Co and EMS agreed to provide $40m of funding for US-based biopharmaceutical company MiRagen Therapeutics on Tuesday.
The corporates, which invested through their Brace Pharma Capital and MRL Ventures units respectively, were joined by Fidelity Management and Research Company, Atlas Venture, Boulder Ventures, Jafco, MP Healthcare Venture Management and Remeditex Ventures.
MiRagen is developing treatments for T-cell lymphoma and fibrosis that will work by targeting microRNA molecules. Two of its drug candidates are currently in phase 1 clinical trials.
The capital was secured as MiRagen sealed an agreement to acquire US-based, Nasdaq-listed molecular diagnostic technology developer Signal Genetics in an all-share deal that will involve MiRagen acquiring 96% of Signal’s outstanding stock.
MiRagen has now raised approximately $115m in funding since it was founded in 2006, including $41m in a November 2015 series C round co-led by MRL Ventures and Jafco.
The series C round also featured Brace Pharma Capital, MP Healthcare Venture Management, Atlas Venture, Boulder Ventures, Remeditex Ventures and Amgen Ventures, the corporate venturing arm of pharmaceutical company Amgen.
The company had raised $12m in a 2009 series A round backed by Amgen Ventures, Broadview Ventures, Atlas Venture, Boulder Ventures and Peierls Foundation before closing a $21.5m series B in February 2015 that included Amgen Ventures, Atlas, Boulder, Broadview and Remeditex.
William S. Marshall, president and CEO of MiRagen, said: “We believe microRNA targeting therapeutics have the potential to address complex diseases with high unmet medical need and MiRagen will be well positioned to execute on our programs.
“We believe proceeds from the concurrent financing will allow us to advance our lead assets in haematological malignancy and pathological fibrosis into later stage clinical evaluation.”