Nitec Pharma AG secures funding of CHF 24M
Reinach, Switzerland, 29 September 2008 - Nitec Pharma AG ("Nitec Pharma" or "Nitec"), a Switzerland-based specialty pharmaceutical company focused on the development and commercialisation of innovative medicines and effective treatment solutions for chronic inflammation and pain-related diseases, today announced that it has closed a CHF 24M financing round led by new investor TVM Capital ("TVM") with participation from a principal investing arm of Deutsche Bank AG, Deutsche Bank AG London, as well as existing investors NGN Capital, Global Life Sciences Venture ("GLSV") and Atlas Venture.
The new funds will be used for the development and commercialisation of Nitec's most advanced product LodotraTM for the treatment of rheumatoid arthritis, severe asthma and polymyalgia rheumatica and the development of TruNocTM, with a potential in neuropathic pain, osteoarthritis and other chronic inflammation and pain-related diseases. The funding may also be used to further expand Nitec's portfolio within its chosen therapeutic fields.
Dr. Anders Härfstrand, CEO of Nitec Pharma: "We are very proud that TVM and Deutsche Bank decided to participate in this financing round. The new financing demonstrates the strong belief in our pipeline, our management team and in our future success. The proceeds give us the financial flexibility to further work on and expand our pipeline and to bring LodotraTM to the market."
"We are investing in Nitec at an exciting stage of the company's development. Reducing pro-inflammatory cytokine interleukin-6 (IL-6) levels in accordance with the human body's own circadian rhythm is a highly interesting concept that has been proven with Nitec's first product candidate LodotraTM in RA. We look forward to LodotraTM reaching the market", Dr. Hubert Birner, General Partner of TVM added. As a part of this financing, Dr. Hubert Birner will join Nitec Pharma's Board of Directors.
LodotraTM, a circadian cytokine modulator, successfully completed a European phase 3 trial in rheumatoid arthritis in 2006. A dossier was submitted in 2006 in order to obtain marketing authorisation in 15 European countries using the decentralised procedure. Management expects marketing authorisation in these countries in the near future.