BOSTON: City Therapeutics Inc., a biopharmaceutical company focused on next-generation RNA interference-based medicines, has raised $99.5 million in a Series B financing round, the company announced Tuesday.
The round drew participation from new investors Viking Global Investors and Sofinnova Investments, alongside Casdin Capital and NYBC Ventures. Existing backers including ARCH Venture Partners, Fidelity Management & Research Co., Invus, Slate Path Capital, Rock Springs Capital, Regeneron Ventures and AN Ventures also joined, along with other undisclosed investors.
Proceeds will be used to advance City Therapeutics’ pipeline of RNAi therapeutics, accelerate the company’s next-generation RNAi engineering platform and support business development activities.
The financing comes as the company recently initiated a Phase 1 clinical trial of CITY-FXI, targeting Factor XI for the treatment of thromboembolic diseases. City Therapeutics also announced positive preclinical data for CITY-RBP4, a potential first-in-class RNAi therapy for Stargardt disease, a rare genetic eye disorder.
“This Series B financing reflects our substantial progress and the confidence our investors, both longstanding and new, have in the City Therapeutics team, platform and pipeline,” CEO Andy Orth said in a statement. “We have achieved multiple important milestones in the two years since our Series A financing, including advancing CITY-FXI to the clinic and completing major strategic collaborations with Bausch + Lomb and Biogen. With this capital, we are well-positioned to move two programs to clinical stage this year, including CITY-RBP4, and continue to validate our innovative RNAi platform.”
Rohan Nirody, managing director at Viking Global Investors, said the company has assembled “one of the most experienced and accomplished teams in RNAi” and is executing on “a compelling scientific vision.” Maha Radhakrishnan, M.D., executive partner for private equity at Sofinnova Investments, will join Nirody as a board observer in connection with the financing.
City Therapeutics was co-founded by RNAi pioneer John Maraganore, Ph.D., former CEO of Alnylam Pharmaceuticals, who serves as executive chairman. The company has raised more than $230 million since its founding and is based in Cambridge, Massachusetts.
