Biotech Investments Surge in New Year
January 10, 2005

By VentureWire Staff Reporters

Biotech start-ups in the preclinical stage continue to ring in the new year by announcing massive funding rounds. Nereus Pharmecueticals announced Series D commitments of $42.6 million that will be used to fund human clinical trials for the company's first two compounds targeting cancerous tumors. French Psyciatric drug developer Neuro3d also said this week it closed a $42.4 million third round to develop its preclinical and clinical programs.

Vitae Pharmaceuticals announced that in just two months it had raised $34 million in additional capital to bring its Series B total to $59 million. The company recently changed its name from Concurrent Pharmaceuticals to Vitae, which means "life," to signify its swift advancement from being strictly a discovery company to becoming a full-fledged product maker.

Vitae boasts four lead product candidates positioned for clinical development this year, thanks to a deal last May in which Allergan sold Vitae a series of compounds targeting cancer, dermatological disorders and cardiovascular disease. Until that time Vitae had simply used computer modeling to simulate drug development. "There's a clear trend for emerging companies like ours to focus on being able to rapidly create products to meet the evolving medical needs out there," CEO Jeffery Hatfield said, adding that Vitae is "well positioned for both partnerships and a potential IPO." Vitae is said to already be in talks with a number of pharmaceutical companies.

Notable Deals

DexCom Completes $22.5M Series D Funding
1/5/2005 – DexCom, a developer of sensors for the continuous monitoring of glucose in people with diabetes, has raised $22.5 million in series D funding. Founded in 1999, the San Diego-based company raised $49.4 million prior to this round.
http://www.dexcominc.com

MDVIP Receives $6M In First Round To Expand Network Of Physician Practices
MDVIP Inc., which operates a network of primary care practices that provide personalized healthcare services, said it received $6 million in its first round of institutional capital.
http://www.mdvip.com

VisionCare Raises $20M Series D For Implantable Telescope
VisionCare Ophthalmic Technologies Inc., a developer of implantable ophthalmic devices for treating age-related macular degeneration, or AMD, and other central vision disorders, said it received $20 million in Series D financing.
http://www.visioncareinc.net

Agion Gets $6.2M In Series C Funding; Holding Round Open
Agion Technologies Inc., a provider of antimicrobial products which prevent the growth of bacteria in industrial, consumer, and medical applications, received $6.2 million in initial funding in a Series C equity financing round.

Efficas Gets $3M In Third Part of Series A, Capping Round With $8.5M
Efficas Inc., a developer of natural bioactive products for humans and animals, said it has raised $3 million in the third and final tranche of its Series A financing, capping the round with a total of $8.5 million.
http://www.efficas.com

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