EQRx Secures $200 Million Series A Funding to Reduce Costs of Innovative Drug Development

On January 15, 2020, VCBeat (WeChat ID: vcbeat) learned via Business Wire that the newly established biotechnology company EQRx announced the launch of a $200 million Series A financing round. The round was led by Google Ventures (GV), ARCH Venture Partners, and Andreessen Horowitz, with participation from Casdin Capital, Section 32, Nextech, and Arboretum Ventures.

EQRx partners with leaders and investors in the life sciences sector, aiming to reshape the paradigms of drug design, development, and commercialization. Alexis Borisy, a leading biotechnology entrepreneur and investor, will serve as Chairman and Chief Executive Officer of EQRx, while Melanie Nallicheri, a biopharmaceutical executive, will assume the role of President and Chief Operating Officer.

EQRx, founded in January 2020 and headquartered in Cambridge, Massachusetts, USA, is a biotechnology company. The company is dedicated to reimagining the processes from drug development and manufacturing to patient delivery, with the aim of providing solutions to the rising cost of medicines. EQRx strives to discover, develop, and commercialize more effective, higher-quality, cost-effective, and patent-protected drugs.

EQRx was founded with the initial aim of producing innovative drugs at affordable prices to benefit humanity and society. The company stated that it would reduce patients’ medical costs by developing novel, patent-protected medications, bringing more effective and economical treatments for serious diseases to patients, thereby ensuring the sustainability of the healthcare system. Meanwhile, EQRx calls on all stakeholders across the healthcare ecosystem to jointly leverage the latest advances in science and technology to produce highly effective, low-cost innovative drugs.

Alexis Borisy stated, “Over the past few decades, unprecedented technological advancements and a deeper understanding of disease biology have fundamentally transformed the treatment of many diseases. Meanwhile, the pricing of new therapies is crossing boundaries, preventing patients and society from benefiting from innovation. It is now time to adopt market-based solutions to address the issue of rising drug costs. With the launch of EQRx, we aim to redefine innovation and provide patients with fairer prices and higher-quality medicines.”

GV Partner Krishna Yeshwant stated, “EQRx has put forward the bold idea of delivering better medicines at lower prices, with a business model that sustains the development, continuation, and reinvestment of innovative therapies. I believe that significantly reducing prices will enable a broad patient population to access these new drugs without financial concern.”

GV, founded in March 2008 and headquartered in California, USA, is the venture capital arm of Google. The firm leverages its strengths to support innovative and promising emerging technology companies, focusing on multiple sectors including consumer internet, software, clean technology, biotechnology, and healthcare.

ARCH Venture Partners, founded in 1986 and headquartered in Chicago, USA, is a venture capital firm. The firm provides seed and early-stage financing to technology companies, with a primary focus on the healthcare and clean energy sectors. To date, ARCH Venture Partners has invested in more than 120 companies and manages $1.9 billion in assets.

Andreessen Horowitz, founded in 2009, is a venture capital firm based in Silicon Valley, United States. The firm tends to invest in internet infrastructure, software-related biology, biotechnology, and the intersection of computer science and life sciences, with a focus on digital therapeutics, cloud technology in biology, and computational medicine. It manages $2.7 billion in assets.

Casdin Capital, founded in 2011 and headquartered in New York, USA, is a venture capital firm focused on the life sciences and healthcare industries, primarily investing in companies at early-stage and late-stage development.

Section 32, established in 2017 and headquartered in New York, USA, is a venture capital fund founded by Bill Maris, the founder of Google Ventures. It primarily invests in biotechnology, healthcare, and life sciences.

Nextech, founded in 1998 and headquartered in Zurich, Switzerland, is a venture capital firm specializing in the information, biotechnology, and healthcare sectors, primarily seeking investment opportunities in Africa, the Middle East, Asia, and North America.

Arboretum Ventures, founded in 2002 and headquartered in Michigan, USA, is a healthcare-focused venture capital firm. The company concentrates on areas such as healthcare services, medical devices, diagnostics, healthcare information technology, technology-enabled healthcare services, and life science tools. Arboretum Ventures manages $450 million in assets across four investment funds.

(Compiled by Xu Xiaoxue)