Shield Therapeutics (Shield), the independent specialty pharmaceutical company focused on the development and commercialisation of late-stage hospital pharmaceuticals, today announces that it has successfully raised EUR8.2m (CHF10m/US$12m) from Inventages Venture Capital (Inventages) in its first institutional (Series A) financing round.
"We are delighted to have successfully completed this fundraising which serves as further validation of the potential of ST10-021 as a novel treatment for iron deficiency anaemia and Shield's development strategy," said Carl Sterritt, Chief Executive Officer and Co-Founder of Shield Therapeutics. "We look forward to working closely with the Inventages team to benefit from both their experience of working with high-growth companies like Shield and their excellent track record in helping to create significant value for shareholders. Shield is now well positioned to build upon the progress achieved to date as we can accelerate our plans and commence AEGIS I and II - the pivotal trials for ST10-021 - during 2011."
The new investment will help fund the Phase III pivotal development programme and subsequent filing of a marketing authorisation application for ST10-021, a novel stable complex of ferric iron in an oral formulation initially being developed for the treatment of iron deficiency anaemia, a key symptom of both ulcerative colitis and Crohn's disease. Shield Therapeutics will commence international Phase III trials of ST10-021 in patients with these indications in the second half of 2011.
The investment by Inventages follows the recent completion of a final private investor led fundraising and was made at a post-money valuation of EUR35m (CHF43m/US$51m). The investment is scheduled in two equal tranches over the next two years. Prior to the investment by Inventages, Shield Therapeutics successfully completed three private investment rounds, raising a total of approximately EUR6 million (CHF7.5m/US$9.0m).
Gunnar Weikert, the Chairman of Inventages who will be joining the Board of Shield Therapeutics, commented: "We are excited by the opportunity to work together with the dynamic and experienced team of Shield and to develop this novel treatment for iron deficiency anaemia, which is one of the most common global disorders. ST10-021 has the potential to help a large number of patients who are currently on intravenous therapy or cannot cope with the side effects of oral ferrous drugs."