Xenome Ltd, a Queensland based biotechnology company today announced that the company had successfully raised AUS$6.0m from a new share issue.
The Queensland BioCapital Funds (QBF), a venture capital fund based in Brisbane, has agreed to invest AUS$6.0m in Xenome to advance the company’s exciting drug development pipeline. The investment will be placed in two tranches, the first effective immediately, with the second tranche being dependant on Xenome achieving set milestones over the next 12 months.
QBF is a specialist biotechnology fund focused on human biosciences, an area that is currently under-serviced in Australia.
The investment in Xenome is a significant milestone for QBF as it is the first investment to be made from their $100 million venture capital fund.
Xenome is a biopharmaceutical research and development company focused on the discovery of new drug products from the venoms of Australian fauna. Xenome has successfully identified and synthesised a large number of novel compounds from animals such as coneshells and spiders. A valuable pipeline of new drug leads has been generated from these compounds using a combination of in-house bioassay screening and partnered screening programs with Australian and International biotechnology companies.
The QBF investment will be used to further develop the discovery and lead development program already established at Xenome and to take Xenome’s exciting new pain therapeutic lead, Xen2174, into clinical trials.
Dr Tony Evans, CEO at Xenome, has said, “Xenome welcomes the QBF investment at a time when biotechnology investment worldwide is going through a difficult period. This is a considerable investment by Australian standards, and demonstrates the confidence that QBF has in the company’s research and business capabilities.” “Xenome is now exceptionally well placed to grow rapidly through the upturn in the biotech sector that is expected over the next 18 months,” said Dr Evans.
Dr Evans has also highlighted the value that QBF will bring through their representation on Xenome’s Board. “The QBF team have an extensive international network in the pharmaceutical industry, and invaluable contacts in capital markets. These attributes will benefit Xenome enormously as the company grows through its next stage of development,” he said.
The CEO of QBF, Dr Kathryn Radford, said “Xenome is a well managed company with a solid R&D base and a strong international profile. These features, together with its exceptionally high growth potential have combined to make Xenome our primary investment target.” “We are looking forward to working closely with the Company,” she said.
Dr Roger Drinkwater, the Head of Research at Xenome has highlighted the contribution this investment will make to the consolidation of Xenome’s leading edge in venom related drug development. “Xenome is a young company that has already made a significant impact in the identification and development of novel drugs such as Xen2174, a coneshell derived molecule that is currently in the preclinical stage of drug development for the treatment of acute and chronic pain”. Dr Drinkwater said, “it is important that the company continues to expand this drug pipeline in addition to rapidly taking its key products into clinical trial. The QBF investment will underpin both of these important components of the company.”
Dr Drinkwater also added that the company is well positioned from a product development perspective, and the research management team are looking forward to assessing a number of exciting new opportunities.
QBF will now join Medica Holdings Ltd, BioTech Capital Limited and UniQuest Pty Ltd as major shareholders in Xenome.
About Xenome
Xenome Ltd, founded in January 2000 as a start-up generated from ground breaking venom research conducted at the University of Queensland, is now a world leader in the discovery of novel peptides from animal venoms. Working from modern laboratories based in Brisbane, Australia, Xenome has generated a unique expertise in peptide chemistry to enable the production of a library of molecules from venoms that is now in demand by biotechnology and pharmaceutical companies in the USA and Europe. Peptides with unique chemistry and pharmacology are being used in Xenome’s drug development activities that are focused on pain management, urological disorders, airway disorders and diseases of the central nervous system. Current major shareholders of the company are Medica Holdings Limited, an ASX listed biotechnology investment company, BioTech Capital Limited, an ASX listed biotechnology investment fund managed by Challenger International Limited and UniQuest Pty Ltd, the commercialisation company of the University of Queensland.
About Queensland BioCapital Funds
Queensland BioCapital Funds is a $100 million closed end venture capital fund that seeks to invest in opportunities in the human biosciences sector. Queensland BioCapital Funds Pty Ltd is a wholly owned subsidiary of the Queensland Investment Corporation, a $25 billion wholesale fund manager owned by the Queensland Government, driven by private sector board and staff. Queensland BioCapital Funds Pty Ltd has been incorporated to assist QIC in its role as trustee and manager of the fund by identifying, validating and managing investment opportunities.
For further information please contact:
Tony Evans, CEO
Xenome Ltd
Phone: +617 3720 8055
E-mail : tony.evans@xenome.com
website: www.xenome.com
Kathryn Radford, CEO
Queensland BioCapital Fund
Phone: +617 3377 2000
Email: info@qbf.qic.com
Website: www.qbf.qic.com.au
