Satsuma Pharmaceuticals Secures $62 Million Series B Financing to Advance STS101 for Acute Migraine Treatment

VCBeat (WeChat Official Account: vcbeat) has learned that on April 24, Satsuma Pharmaceuticals, a clinical-stage biopharmaceutical company, announced the completion of a $62 million Series B financing round. The round was led by Wellington Management Company, with participation from existing investors RA Capital Management, TPG Biotech, and Shin Nippon Biomedical Laboratories, as well as new investors Osage University Partners, CAM Capital, Surveyor, Eventide Asset Management, Cormorant Capital, Lumira Ventures, and SBI Investment. The proceeds will be used to conduct Phase III clinical trials of the company’s lead candidate, STS101 (dihydroergotamine nasal powder).

Satsuma Pharmaceuticals, Inc. was founded in South San Francisco, California, in 2016 as a clinical-stage biopharmaceutical company dedicated to developing acute treatments for migraine.

STS101 is Satsuma Pharmaceuticals’ lead candidate for the treatment of migraine. STS101 is a simple-to-use, self-administered, needle-free dihydroergotamine (DHE) product that leverages proprietary nasal delivery, dry powder formulation, and engineered drug particle delivery technologies, positioning it as a potential best-in-class therapy for migraine. Compared with other migraine treatments, including triptans, DHE offers multiple therapeutic advantages such as rapid absorption and high bioavailability. It exhibits pharmacokinetic profiles similar to those of injectable formulations, thereby providing consistent and robust clinical efficacy. STS101 has undergone extensive preclinical optimization and has recently completed Phase 1 clinical trials.

Following consultations with the FDA, Satsuma Pharmaceuticals finalized the key elements of the Phase 3 clinical trial for STS101, including the design of a Phase 3 efficacy study to support the New Drug Application (NDA) for STS101 in the treatment of acute migraine. Satsuma plans to initiate a randomized, double-blind, placebo-controlled Phase 3 clinical trial of STS101 in the third quarter of 2019.

STS101 has undergone extensive preclinical optimization and evaluation. Based on the pharmacokinetic data generated to date, Satsuma anticipates that STS101 will have a rapid onset of action and demonstrate high efficacy and good tolerability in a broad population of migraine patients, including those with severe disease whose needs remain inadequately met.

John Kollins, President and Chief Executive Officer of Satsuma, commented, “We are honored to have the strong support of top-tier healthcare investors. As our STS101 is about to enter Phase III clinical trials, this indicates that we are one step closer to realizing our vision of creating a best-in-class DHE medication. The STS101 product demonstrates significant clinical efficacy and can meet the needs of many migraine patients.”

Wellington Management was founded in Boston, Massachusetts, in 1970 and is one of the largest private independent investment management firms globally. Its investment scope covers nearly all segments of the global capital markets, employing strategies that span global equities, currencies, commodities, and broader markets to provide asset allocation and professional management solutions for its clients.

RA Capital Management, founded in Boston in 2001, is a venture capital firm composed of professionals with backgrounds in biology, chemistry, and medicine, specializing in investments in companies within the life sciences and drug development sectors.

TPG Biotech, a subsidiary of the global private investment firm TPG, is a growth-stage equity and venture capital platform focused on the biotechnology industry. TPG Biotech primarily invests in companies engaged in drug discovery and development, medical technology, medical diagnostics, pharmaceutical services, life sciences, and biotechnology.

Shin Nippon Biomedical Laboratories (SNBL Japan), established in Kagoshima in 1957, was Japan’s first contract research organization. SNBL Japan aims to become a global enterprise engaged in preclinical research, clinical pharmacology studies, pharmacokinetics and bioanalysis, clinical trials, and site management organization (SMO) services.

Osage University Partners is a venture capital firm based in Pennsylvania. The company primarily invests in early-stage software, hardware, and life sciences companies. Osage collaborates with research universities to invest in innovative startups and shares investment profits with its partner institutions. To date, it has established partnerships with more than 80 universities.

CAM Capital, formerly known as Caxton Alternative Management, was established in New York, USA, in 2012. It aims to achieve long-term compound growth of its investment portfolio by leveraging diversified opportunistic investment strategies.

Surveyor Capital, established in 2008, is a global multi-manager equity strategy firm and one of Citadel’s three core equity businesses. Surveyor Capital’s industry-focused investment teams are dedicated to understanding each company’s business strategy, management team, performance drivers, as well as medium- to long-term cyclical and secular industry trends.

Eventide Asset Management, founded in 2008, is an investment advisory firm headquartered in Boston. Eventide’s vision is to create value for individuals, financial advisors, and institutions by delivering high-performance investments. Currently, Eventide manages over $3.6 billion in net assets.

Lumira Ventures was established in 1988 in Toronto, Canada. The firm primarily invests in the healthcare, life sciences, biotechnology, medical technology, digital health, and consumer health sectors.

SBI Investment, established in Tokyo, Japan, in 1996, is the venture capital arm of SBI Holdings. The firm primarily invests in companies operating in the fields of information technology, biosciences, healthcare, environment, and energy.

(Compiled by Li Chengping)