Biotech firm Aerpio Therapeutics has raised a $27m series A round, led by Novartis BioVentures, a venture unit of Basel-based pharmaceutical company Novartis.
Other investors include early-stage venture firm Venture Investors, life science investor Triathlon Medical Ventures, venture firm Kearny Venture Partners, IT and healthcare investor Athenian Venture Partners, and biofirm investor AgeChem Venture Fund.
The investment is the first of its kind for Cincinnati-based Aerpio; but not for the company it was spun out from in December 2011, Akebia Therapeutics.
Akebia has raised a total of $42.1m in venture funding, largely from the same investors as Aerpio. It has held three rounds, in which Novartis, Triathlon, and Athenian have all participated, and were joined by Sigvion Capital. In addition, during its $16m series A round in September 2009, the firms were joined by Technology Venture Corporation. For Akebia’s $22m series B round and subsequent $4.1m second tranche round in April 2011 and January 2012, respectively, Novartis, Triathlon, Athenian, and Sigvion were joined by Kearny, Venture Investors, and AgeChem in both rounds.
Aerpio plans to use to further develop its pipeline, including treatments for eye-swelling disorder diabetic macular edema.
Dr. Joseph Garner, president and chief executive officer of Aerpio, said: “The $27M financing will provide sufficient funding to complete a Phase 1b/2a study, which will begin shortly, as well as a large definitive Phase 2 study in DME patients.”
“Aerpio is already making significant progress in its lead program, AKB-9778, so we’re very pleased to be supporting further clinical development of this promising compound,” said Campbell Murray, managing director at Novartis BioVentures.