10 Notable Biotech Companies With Recent Major VC Rounds
As the biotech sector recovers to pre-COVID investment levels, venture capital firms have become more selective in their funding choices. In 2024, private U.S. drug companies raised $3.8 billion in the first quarter, aligning with the $15 billion annual investment seen last year. This marks a return to the investment levels of 2018 and 2019, after a spike during the pandemic in 2021 and 2022. Venture capital firms are also actively raising new funds, with several new and established firms launching significant funding rounds.
However, there is a notable shift in investment focus. Preclinical companies are receiving less funding, while larger private rounds are becoming more common. Clinical-stage companies, particularly those with experienced management teams, are more likely to succeed in pricing IPOs. The broader economic environment and the Federal Reserve's interest rate policies are influencing these investment patterns. As a result, investors are increasingly considering mergers and acquisitions (M&A) and partnerships as viable exit strategies, given the fluctuating IPO market.
Read also: 13 Publicly Traded Biotechs Utilizing AI-based Research Platforms (+ 2 Upcoming Public Debuts)
Below we list some of the notable venture capital rounds lately, with a focus on innovative technological platforms or breakthrough biology:
Asceneuron SA
The company secured $100 million in Series C funding to develop tau-targeting therapies for neurodegenerative diseases, with a focus on phase 2 clinical trials for Alzheimer’s disease. The company’s lead candidate aims to reduce the accumulation of tau protein tangles in the brain, which are associated with the progression of Alzheimer’s. Asceneuron’s therapies are designed to modify disease progression and improve cognitive function.
AusperBio
AusperBio raised $37 million in Series A funding to advance its targeted oligonucleotide therapies, particularly for hepatitis B. The company’s innovative platform designs and develops oligonucleotide-based treatments that target viral RNA, aiming to achieve functional cures for chronic infections. AusperBio’s therapies offer a new approach to treating viral diseases by directly targeting the genetic material of the virus.
Cardurion Pharmaceuticals
The company raised $260 million in a Series B funding round to develop therapies for cardiovascular diseases. Their lead program is in phase 2 clinical trials for treating heart failure. Cardurion’s approach involves innovative therapies that target the underlying mechanisms of heart disease to improve cardiac function and patient health.
CatalYm GmbH
CatalYm received $150 million in Series D funding to advance its immunotherapy pipeline, focusing on a phase 2b clinical trial for solid tumors. The company’s lead candidate is a novel immune-modulating antibody designed to enhance the body’s immune response against cancer. CatalYm aims to improve the efficacy of existing cancer immunotherapies by overcoming immune suppression within the tumor microenvironment.
Draupnir Bio
This biotech secured €12 million ($13.1 million) in seed funding to develop targeted protein degradation therapies for heart disease. The company’s preclinical research focuses on using small molecules to selectively degrade disease-causing proteins, potentially offering a new approach to treating cardiovascular conditions. Draupnir Bio’s technology aims to address the root causes of heart disease at the molecular level.
Element Biosciences
The prominent deal included US-based Element Biosciences, which raised $277 million in a Series D funding round to further develop and commercialize its innovative DNA sequencing and multi-omics technologies.
The company’s flagship product, AVITI™, is a benchtop DNA sequencer that offers high accuracy and affordability, positioning it as a competitor to Illumina. Element Biosciences plans to launch AVITI24™, a next-generation system that integrates sequencing with cyto-profiling, enabling simultaneous analysis of DNA, RNA, proteins, and cell structure within single cells, thus providing comprehensive biological insights.
HepaRegeniX GmbH
This German biotech received €15 million ($16.4 million) in Series C funding to further its regenerative therapies for liver diseases. The company’s lead candidate is in phase 2a clinical trials for liver regeneration. HepaRegeniX’s approach involves activating specific pathways that promote liver cell regeneration and repair, offering a potential treatment for conditions like liver cirrhosis.
IDEAYA Biosciences
The company secured $263 million through a public offering to advance its precision medicine programs, with a particular focus on a phase 2 clinical trial for ocular melanoma. The company specializes in synthetic lethality, a targeted therapy approach that exploits cancer-specific genetic vulnerabilities. IDEAYA’s precision medicine platform integrates molecular diagnostics with targeted therapies to improve patient outcomes.
Pan Cancer T
Pan Cancer T raised €4.25 million ($4.65 million) in seed extension funding to develop its TCR (T-cell receptor) therapies for solid tumors. The company’s preclinical programs focus on engineering T-cells to recognize and attack cancer cells more effectively. Pan Cancer T’s platform aims to provide personalized and potent immunotherapies for cancer patients.
Scorpion Therapeutics
The company raised $150 million in Series C funding to support its precision oncology programs, including phase 1/2 clinical trials for solid tumors. The company uses a proprietary drug discovery platform to develop targeted therapies that address specific genetic mutations in cancer. Scorpion’s approach aims to deliver highly selective and potent treatments with fewer side effects.
Here is the bonus insight:
You can access the data file for the above infographic here: Megarounds Biopharma in first half of 2024 (diagram data)
Topic: Biotech Ventures
