Cinclus Pharma Holding AB, a Swedish developer of a novel treatment against gastroesophageal reflux disease, raised SEK250M in funding.
The Fourth Swedish National Pension Fund (AP4) joined as a new major shareholder through the issue, which was also subscribed by, among others, the current shareholders Bengt Julander, Jonas Sjögren and Recipharm Venture Fund.
The company intends to use the funds for the continued development of its treatment.
Led by Kjell Andersson, CEO, Cinclus Pharma is advancing X842 – a clinical-stage drug candidate for the treatment of gastroesophageal reflux disease (GERD). X842 is based on a substance initially developed by AstraZeneca that has been proven safe and well-tolerated in studies including over 2 500 individuals. The favorable safety profile and pharmacokinetic characteristics of X842 has been demonstrated in a Phase 1 clinical study. The proceeds from the financing round will be used to perform a phase 2 clinical trial, which is expected to start in the second half of 2020, as well as operating costs and other key activities necessary to make the project ready for a pivotal phase 3 clinical trial program. Cinclus Pharma Holding AB is the 100% owner of Cinclus Pharma AG, a research-based biotech company, based in Basel, Switzerland.