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LONDON (Alliance News) - Imperial Innovations Group PLC, which invests in technology developed from academic research, Tuesday said it has led a GBP25 million fundraising for the sixth largest company in its portfolio.
PsiOxus Therapeutics, which is developing oncolytic immuno-oncology treatments for cancer, will use the proceeds of the Series C funding round to for a Phase I clinical study combining enadenotucirev and an immune-checkpoint inhibitor in patients with metastatic colorectal cancer.
Enadenotucirev is the company's lead product. It is an oncolytic virus that has been shown in Phase I clinical trials to reach and selectively infect cancer cells when administered by intravenous infusion, according to Imperial Innovations. PsiOxus Therapeutics wants to use its new study to demonstrate that triggering the immune process by infecting tumour cells with enadenotucirev will "enable the activity of checkpoint inhibitors in this otherwise immune modulator resistant indication".
Imperial Innovations committed GBP7.0 million to the fundraising, while the rest was made up by existing investors Invesco, SROne, Lundbeckfond and Mercia Technologies PLC. In addition, Woodford Investment Management joined the syndicate.
The news means that PsiOxus has now raised more than GBP55 million from investors. The latest fundraising means Imperial Innovations maintains its 28.3% stake in the company and increases the cost of its investment to GBP16.5 million, having previously invested GBP9.5 million in the company with a net carrying value of GBP11.5 million at the end of January.
"This could lead to a substantial new commercial opportunities by introducing this exciting class of immunotherapeutic agents to the large colorectal cancer market," Imperial Innovation Chief Executive Russ Cummings said in a statement.
Cummings said the funding will give PsiOxus the chance to develop its 'Armed EnAd' anti-cancer therapeutic platform.
"This novel approach arms the enadenotucirev virus with the genetic instructions required to force cancer cells into producing therapeutic agents such as checkpoint inhibitor antibodies within the tumour. This potentially opens up an exciting form of anti-cancer gene therapy whereby the metastatic tumour is forced into acting as an anti-cancer 'drug factory'," Cumming said.
Peter Dines, investment director, life sciences at Mercia Technologies PLC, said PsiOxus was the result of expert academic work.
"PsiOxus is the result of an effective combination of technological expertise from the University of Birmingham and Imperial College, and we are delighted to maintain our association with the Company as it moves towards the next stage of its development," Dines said.
Mercia Technologies committed GBP0.4 million to the fundraising.
Imperial Innovations shares were up 5.8% at 466.80 pence on Tuesday, while Mercia shares were up 0.9% at 55.50p.
Shares in Woodford Patient Capital Trust PLC, which according to Mercia's statement was the Woodford investment trust that committed to the fundraising, were up 0.03 pence at 105.15p.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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