OnQuality Pharmaceuticals Secures $20 Million Series A+ Financing to Advance Pipeline Targeting Side Effects of Anti-Cancer Therapies

VCBeat (WeChat ID: Vcbeat) has learned that on April 12, Shanghai Ankuo Pharmaceutical Co., Ltd. (hereinafter referred to as “Ankuo”) announced the recent completion of its $20 million Series A+ financing round. New investors in this round included Shiyu Capital, Innovation Works, and other individual investors, while existing investors Matrix Partners China, Boyuan Capital, Fengrui Capital, and Guoke Jiahe continued to increase their investments. Start Point Advisors served as the exclusive financial advisor for this transaction.

Through its Series A and Series A+ financing rounds, Ankuo has secured a total of $35 million in support. These funds will be entirely allocated to supporting Ankuo’s ongoing multicenter Phase II clinical trials in the United States, as well as the research and development of four subsequent projects scheduled to enter clinical trials within the next 18 months. All of Ankuo’s pipeline projects are focused on developing therapeutics targeting the side effects of anti-tumor drugs. By alleviating these side effects, the company aims to improve the quality of life for cancer patients and thereby enhance the efficacy of anti-tumor treatments.

Meanwhile, OnQuality Pharmaceuticals announced the appointment of Dr. Michael McCullar as its Chief Executive Officer. Dr. McCullar brings over 20 years of experience in business development, mergers and acquisitions (M&A), partnerships, operations, strategy, and R&D within the pharmaceutical industry. Previously, as Chief Operating Officer of Tolero Pharmaceuticals, he led and oversaw the company’s acquisition by Sumitomo Dainippon Pharma for $780 million. Dr. McCullar also served as Senior Vice President at Astex, where he spearheaded and managed its acquisition by Otsuka for $886 million. During his tenure at Astex, he completed several key partnerships and M&A transactions and contributed to the initial approval of decitabine for the treatment of myelodysplastic syndromes (MDS).

Dr. Michael McCullar

Dr. Michael McCullar stated, “I am delighted to join the OnQuality Pharma team. Anke’s scientific rationale—precisely treating adverse effects by targeting the specific signaling pathways that cause them—holds great promise for significantly improving the quality of life for cancer patients. I am particularly optimistic about the field of oncology supportive care, where there is substantial unmet clinical need and a competitive landscape that favors startups in rapidly achieving leadership positions. My past experience in oncology drug development and my professional network have convinced me that as innovative cancer therapies become more widely adopted, enhancing quality of life will become the next major focus for both patients and physicians.”

The primary role of oncology supportive care medications is to manage the side effects induced by anticancer drugs. Side effects have long been an unavoidable challenge associated with antineoplastic agents. Virtually every anticancer drug enhances its tumor-killing efficacy at the expense of causing damage to other healthy tissues in the patient’s body. According to incomplete statistics, supportive care medications account for more than 20% of the total end-market for antineoplastic drugs, with annual sales exceeding USD 26 billion. Major pharmaceutical companies such as Amgen and Hengrui Medicine have actively expanded their oncology supportive care pipelines, launching multiple blockbuster drugs with annual sales reaching billions of dollars. However, despite the urgent unmet clinical needs and the substantial market size, there are very few biotechnology companies domestically or internationally that specialize exclusively in the research and development of oncology supportive care medications.

Ankuo is a rare company focused exclusively on developing supportive care medications for oncology. Within Ankuo Pharmaceuticals’ pipeline, three projects target the frequent dermatological adverse effects associated with commonly used anticancer drugs, and three others address the severe gastrointestinal side effects of these agents. The most advanced candidate in Ankuo’s pipeline has progressed to Phase II clinical trials in the United States. Over the next 18 months, several additional projects are expected to enter clinical development.

Cao Jian, Founding Partner of Shiyu Capitalstated: “We are highly optimistic about Ankua’s product positioning and long-term development. Oncology supportive care is a unique and critically important niche segment. We believe that Ankua’s product portfolio can synergize with multiple blockbuster oncology drugs in China, significantly improving patients’ quality of life and truly transforming cancer into a chronic disease, which holds enormous market potential.”

Yang Xiaolong, Partner at Innovation Worksstated: “Ankuo focuses on unmet clinical needs, specializing in the field of oncology supportive care. The company’s team is highly cohesive and driven by ambitious goals. We look forward to Ankuo’s future development.”

Fu Jia, Managing Director of Start Point Advisors“Against the backdrop of explosive growth in global oncology innovative drug development, it is particularly important to focus on the value of improving cancer patients’ survival and quality of life. Starting from the mechanism of action, Ankua Pharma alleviates the suffering caused by treatment through local administration, which holds significant clinical implications. We are honored to have assisted Ankua Pharma in completing this round of financing, helping the company accelerate the progress of its pipeline and benefit more cancer patients.”