Spiral Therapeutics Secures $3.7M Series A Funding to Advance LPT99 into Phase 1 Clinical Trial for Hearing Loss

VCBeat (WeChat ID: vcbeat) has learned that Spiral Therapeutics, a clinical-stage pharmaceutical company headquartered in San Francisco, California, recently announced the completion of a $3.7 million Series A financing round, co-funded by Savoir Capital and Camden Partners.

Spiral is a clinical-stage pharmaceutical company focused on developing therapies for hearing loss and other inner ear disorders. Founded in 2016, the company is led by its founder and CEO, Dr. Hugo Peris, Chief Medical Officer Eugene de Juan, and Justin Hanes.

Hugo Peris, Founder and CEO of Spiral Therapeutics (Image source: prnewswire website)

Spiral is building a pipeline of advanced therapies through its proprietary treatment and drug delivery technologies. Following the completion of this financing round, the company plans to use the funds to further advance its drug development pipeline for hearing loss and to initiate Phase 1 clinical trials of LPT99. LPT99 is a small molecule with potent anti-apoptotic activity and serves as Spiral’s lead candidate for the prevention and treatment of hearing loss.

LPT99 is administered percutaneously via a hydrogel formulation to effectively reach hair cells in the inner ear, demonstrating strong signs of safety and efficacy in animal models for the prevention of chemotherapy-induced hearing loss. Treatments for other hearing loss indications, including noise-induced hearing loss and age-related hearing loss, are currently under investigation.

“Spiral’s mission is to develop novel, effective therapies to address significant unmet medical needs. Although LPT99 has not yet been approved, the initiation of its Phase 1 clinical trial represents a crucial step in fulfilling our corporate mission,” said Dr. Hugo Peris, Founder and CEO of Spiral. “This study also validates our R&D capabilities and our understanding of inner ear disease treatment, while marking Spiral’s emergence as a leader in this field. We will continue to leverage our core competencies to advance the development of LPT99 and expand our research pipeline.”

“LPT99 is an exciting drug candidate that represents a novel potential translational therapeutic approach in the rapidly evolving field of hearing loss treatment,” said Dr. Charles Limb, Chief Medical Officer at Spiral Therapeutics.

Spiral’s Phase I clinical study is currently being conducted in Australia. This is a randomized, double-blind, placebo-controlled, single ascending-dose study designed to evaluate the safety and tolerability of LPT99 in healthy adult subjects. Spiral plans to enroll approximately 32 healthy adults and complete the study in the second quarter of 2019.

Since its establishment in 2016, Spiral has completed three rounds of financing, raising a total of over $8.3 million. In March 2017, Spiral raised $3 million through an angel round. In February 2018, the company secured $1.6 million via convertible equity. This Series A round represents the largest financing in the company’s history to date.

Savoir Capital, founded in 2017 and headquartered in Virginia, USA, specializes in acquiring and operating small to mid-sized companies located in the United States or Canada.

Savoia Capital is actively seeking to acquire majority stakes in privately held companies, whether through full or partial exits by existing shareholders, thereby structuring investments flexibly to meet the unique needs of business owners. The managing principals of Savoia Capital will assume day-to-day operational roles within the portfolio companies, working closely with investors and existing management teams to position the companies for future growth.

Camden Partners is a private equity firm headquartered in Maryland, USA. Founded in 1995, it primarily provides growth capital to lower-middle-market companies in the education, healthcare, and technology-enabled business services sectors.

In a sector with limited shared knowledge, Camden Partners’ business centers on gaining an in-depth understanding of the companies and fund managers in which it invests. The firm’s vision is that its expertise and influence will positively impact both its investors and its portfolio companies.