ParinGenix Raises $19M Series B For Phase II Trials
Drug developer ParinGenix Inc. has raised over $19 million in Series B financing, VentureWire has learned.
New investors CHL Medical Partners and Domain Associates led the round, joined by new investor Aurora Funds and existing investor Research Corp. Technologies, said Myles Greenberg, the company's new chairman and general partner at CHL.
Greenberg said the round included $19 million in new cash, and closer to $20 million with the addition of converted warrants.
VentureWire first reported that ParinGenix was looking for a $19 million round in July 2005.
ParinGenix is developing a modified form of heparin, a common anti-coagulant, for anti-inflammatory purposes. "Heparin is a drug that has been around for many years and used as an anti-coagulant," Greenberg said. "There's been a lot of intriguing research about its anti-infective effects, but that requires a really large dose."
Greenberg said that the company will be based in Research Triangle Park, N.C.
Greenberg said that the key was to develop a version of the drug that kept the anti-inflammatory effects while paring down the anti-coagulant properties. That was accomplished by founder Thomas P. Kennedy, a professor at the University of Utah, with the development of 2-O 3-O desulfated heparin, or ODSH, a modified form of heparin. "It maintains the anti-inflammatory effects but drastically dials down the anti-coagulant effects," he said.
Greenberg said the company's lead compound, PGX-100, an intravenous form of ODSH, is completing a Phase I trial and set to launch a Phase II trial by the end of the year. The new financing will get the company through the Phase II trial, he said. The company is targeting chronic obstructive pulmonary disease, or COPD, as its first indication.
ParinGenix is also developing an inhaled form of ODSH called PGX-200, which will be designed as a treatment for cystic fibrosis, asthma and COPD.
Besides Greenberg, Todd Brady, principal at Domain, and Chris Kroeger, principal at Aurora, have joined the company's board.
ParinGenix raised $4 million in 2002 from Research Corp., Academy Venture Fund, and A.P. Kennedy Securities, a fund affiliated with the family of the founder.