Novadip Biosciences announces EUR 19 million Series B financing backed by international investors
New investment to fuel continued growth of 3M³ platform for the development of products in tissue reconstruction and oncology
Mont Saint-Guibert, Belgium – October 28, 2021 – Novadip Biosciences (“Novadip” or “the Company”), a clinical stage company developing treatments to regenerate impaired tissue in patients with significant unmet medical needs, today announced that it has raised €19 million in the first close of a Series B financing, which was co-led by new investor CR-CP Life Science Fund, a Hong Kong-based venture capital firm, US-based New Science Ventures and Belgian investors Fund+ and SRIW Life Sciences. Existing holders VIVES Louvain Technology Fund and Invest BW also participated with Belgian based InvestSud joining as a new investor. Following the completion of the raise, the Company has appointed Jason Zhou (MD), CEO and Managing Director of CR-CP as a new Board member.
The proceeds will support the future growth of the business whilst enabling continued innovation of the proprietary 3M³ platform. In the near term Novadip is firmly focused on delivering further clinical evidence in support of its regenerative product platform. This includes demonstrating the clinical efficacy of its autologous NVD-003 bone product in highly debilitating diseases, such as congenital pseudarthrosis of the tibia (CPT), a rare pediatric indication that primarily affects children with devastating long-term functional disabilities. IND approval has been granted by the FDA allowing Novadip to conduct a pilot study with NVD-003 in the US. The trial will investigate the potential of the Company’s cell-based osteogenic product in young children, between two and eight years of age, suffering from CPT. For more information, please follow this link. Novadip also recently reported positive interim data of its Phase I/IIa clinical trial for NVD-003 in adults with non-healing and recalcitrant fractures of the lower limb, highlighting its safety and bone formation capabilities. The press release can be found here.
The funds will also enable Novadip to demonstrate the clinical potential of its allogenic off the shelf NVD-X3 product in the bones of the foot and ankle and in posterolateral spine fusion. The Company expects to commence the first clinical trial for its allogeneic program in 2022, following positive in vitro and in vivo results. In addition, Novadip is exploring the potential of its 3M³ platform to manufacture highly specific exosomal miRNA in the treatment of solid tumors with trials due to take place in the US and Europe. Separately to this, Novadip is currently exploring future clinical development opportunities in China.
This first close of the Series B financing takes the total amount of equity financing raised to date to EUR 58 million including the conversion of a EUR 11 million loan into Class B shares. On top of that, Novadip has received recently non- dilutive public funding from the Walloon Region of EUR 13.4 million to support the Series B developments.
Denis Dufrane (MD, PhD), CEO and Co-Founder of Novadip Biosciences, commented: “This successful major equity financing will enable us to accelerate the development of our unique technology platform and complete a US clinical study for our lead autologous product in CPT, a rare and seriously debilitating pediatric condition. In addition to NVD- 003 for CPT, we are highly excited by the clinical potential of our allogenic off the shelf NVD-X3 product as well the most recent potential applications we are now exploring in oncology. Novadip has a strong balance sheet to deliver on its strategy of progressing its highly differentiated and valuable pipeline of products for patients with clear unmet needs.”
Prof. Eric Paul Pâques, Chairman of the Board of Novadip Biosciences, said: “The support of high calibre new and existing investors in both this financing round and the loan conversion is testament to the confidence in the long-term opportunities for our platform to deliver life-changing benefits for patients. We look forward to leveraging Jason’s medical and financial expertise and warmly welcome him to the Board.”
Jason Zhou (MD), CEO and Managing Director of CR-CP, and new Board member of Novadip Biosciences said: “Novadip is an exciting growth business operating in significant and underserved markets and I am highly excited to be joining the Board. CR-CP has been impressed with the potential that Novadip’s platform has shown, and I believe that
Novadip’s research and clinical development to date has shown highly promising progress in bone tissue engineering with further great potential in oncology. Looking ahead, it is clear that Novadip’s portfolio of treatments can be hugely important for patients in Asia and I look forward to supporting Denis and the management team to develop clinical pathways in China in the future.”
Christina Franssen, SRIW Life Sciences, Board member of Novadip Biosciences, said: “We are proud to have been part of Novadip’s journey since the early days of the Company. With this new financing round, we are looking forward bringing the autologous NVD-003 to CPT patients providing them a therapy they are sorely lacking. Thanks to the outstanding quality of the 3M³ platform and the team, we are confident the new acellular product will show good results in patients suffering from bone defects, such as foot and ankle injuries or spinal fusion issues.”
About NOVADIP BIOSCIENCES
Founded by Prof. Denis Dufrane and Jean-François Pollet, Novadip Biosciences, a spin-off company from University of Louvain (UCL) and Saint-Luc University Hospital (CUSL), is active in skeletal regenerative medicine. Novadip Biosciences is a clinical stage biopharmaceutical company leveraging its unique 3D tissue regeneration technology platform to generate multiple product candidates to address hard and soft tissue reconstruction for patients with limited or no treatment options. The company’s proprietary 3M3 platform is a 3-dimensional, extracellular matrix that utilizes adipose-derived stem cells to deliver highly-specific growth factors and miRNAs to mimic the physiology of natural healing and generates a range of products that address specific challenges in tissue regeneration. Novadip’s initial focus is on critical size bone reconstruction. It is also applying its 3M3 platform to develop truly novel off-the-shelf/allogeneic therapies to address more prevalent tissue defects and miRNA/exosome products for broader indications as oncology. For more information, visit www.novadip.com .
About CR – CP Life Science Fund
CR-CP Life Science Fund is a Hong Kong based private equity fund jointly established by China Resources Group and Charoen Pokphand Group, focusing on early-/growth-stage companies in the life science universe. These two conglomerates sponsored the major capital contribution of the total fund size of US$168 million, and they continue to support the fund with their broad existing business network connection in China and Asia.
About New Science Ventures
New Science Ventures (NSV) is a Connecticut and London-based venture capital firm which invests in both early and late-stage companies using novel scientific approaches to address significant unmet needs and create order of magnitude improvements in performance. NSV manages over $800 million and has invested in more than 40 companies located in the US, Europe, India and China in the life sciences and information technology sectors.
FUND+ is an open-ended Belgian fund for long term equity investment in innovative Life Sciences companies with a focus on Europe. Fund+ is Patient-centric investment focus by creating sustainable shareholders value, contribute to the development of a leadership position in the Life Sciences sector and generate a tangible, beneficial societal impact alongside a financial return. Fund+ manages 200+ Mio EUR in assets under management (vintage year: 2015)
About SRIW Life Sciences
By relying on the traditional strengths of Wallonia, SRIW Life Sciences invests in “local heroes,” scientists and entrepreneurs in life sciences who want to leverage their innovation to build a sustainable and equitable global economy with roots in Wallonia.
SRIW Life Sciences focuses on diversity and cross-fertilization in its broadest sense. We invest in life sciences companies at diverse stages of development across a wide range of technologies and disease areas.
We are an early and patient investor, we invest in the most promising early-stage companies and can act with a long- term view – longer than the average VCs.
The role of SRIW as a risk capital provider in the life sciences sector support empowering innovators to explore areas they might hesitate to venture into alone. And by supporting innovative start-ups, we aim to strengthen the economic health of our region.
More information: http://www.sriw.be
For more information, please contact: NOVADIP BIOSCIENCES
Chief Executive Officer, Chief Scientific Officer
+32 (10) 779 220
CONSILIUM STRATEGIC COMMUNICATIONS
Chris Gardner, Matthew Neal, Angela Gray
+44 (0) 23709 5700