Poxel raises EUR 16 million financing in a series A financing
22 July 2010
Poxel, a diabetes drug development specialist, announces July 8, 2010 that it has raised €16 million (USD 19.7 million) in a Series A round. Poxel is a spin off from Merck Serono.
The financing round
The financing round was led by Edmond de Rothschild Investment Partners (EdRIP); other investors in the financing are InnoBio fund, managed by CDC Entreprises within FSI France Investment program and Crédit Agricole Private Equity.
The use of funds
A significant part of the funds will be used to rapidly advance the company's lead program, Imeglimin, an oxidative phosphorylation inhibitor, to treat Type 2 diabetes.
Imeglimin is a first-in-class oral anti-diabetic that has demonstrated efficacy and safety in diabetic patients in two Phase IIa trials. Imeglimin is being developed in monotherapy and in combination with key treatments. Imeglimin has an innovative mode of action that targets the three key defects of Type 2 diabetes,
- inhibiting hepatic gluconeogenesis,
- increasing muscle glucose uptake and
- restoring normal insulin secretion.
Poxel has five further promising anti-diabetic programs in early development. These also include a new class of direct AMPK activators close to preclinical development stage.
Thomas Kuhn, CEO at Poxel
"This substantial funding is very encouraging and is a real testimony to the potential of our company", said Thomas Kuhn, CEO at Poxel. "This financing will help us advance our product pipeline and specifically demonstrate Imeglimin's clinical potential, both as monotherapy and in combination."
4 new members have joined Poxel's board of directors
In line with the financing, four new members have joined Poxel's board of directors:
- Thierry Hercend, MD, PhD, and Chairman of the Board;
- Raphaël Wisniewski, Partner at EdRIP;
- Olivier Martinez, PhD, Investment Manager at the InnoBio Fund and
- Bruno Montanari, Investment Manager at Crédit Agricole Private Equity.
About Type 2 Diabetes
Type 2 diabetes is defined by a failure of sensitive tissues to respond to insulin, a hormone involved in glucose and fatty acid metabolism. The World Health Organization (WHO) estimates that Type 2 diabetes comprises 90% of diabetic patients worldwide. There are increasing reports of children developing Type 2 diabetes, which mainly occurs after the age of 40 years.
The International Diabetes Federation estimates that in 2009, 285 million people around the world have diabetes. This total is expected to rise to 438 million within 20 years. Each year a further 7 million people develop diabetes. The current market is dominated by few product classes and significant unmet needs remain for both physicians and patients.
Find out more
The company will develop drug candidates to clinical proof of concept before partnering with pharmaceutical partners.
Poxel was spun out from Merck Serono a division of Merck KGaA, Germany. Poxel now operates completely independently as a lean organization with strong in-house drug development expertise.