Aptinyx Secures $50 Million Growth Capital Credit Facility from K2 HealthVentures
EVANSTON, Ill.--(BUSINESS WIRE)-- Aptinyx Inc. (Nasdaq: APTX), a clinical-stage biopharmaceutical company developing transformative therapies for the treatment of brain and nervous system disorders, today announced that it has entered into a $50 million loan facility and security agreement with K2 HealthVentures (K2HV). The funds will provide general growth capital as Aptinyx advances its late-stage clinical pipeline of novel NMDA modulators.
“Access to this capital provides us with additional financial resources as we advance toward three Phase 2 clinical study readouts in 2022 and initiate two additional Phase 2 studies in the coming months,” said Norbert Riedel, Ph.D., chief executive officer of Aptinyx. “We are pleased with the terms of the loan and the flexibility this facility offers to Aptinyx. The K2HV team has an excellent track record of partnering with innovative growth companies and an astute perspective on R&D value creation. We appreciate their support as we advance our pipeline.”
Aptinyx will receive $15 million after execution of the loan agreement from K2HV, with an option to draw down an additional $10 million, which will support the future clinical development of multiple pipeline programs. Under the terms of the agreement, the remaining $25 million is subject to the achievement of certain terms and conditions, including regulatory and developmental milestones. Further information with respect to the loan agreement is set forth in a Form 8-K filed by Aptinyx with the Securities and Exchange Commission on September 16, 2021.
“Aptinyx is pioneering a novel approach to treating serious neurologic disorders and has demonstrated compelling clinical evidence that supports the high potential of its platform,” said Parag Shah, founding managing director and chief executive officer of K2HV. “Our financial commitment to Aptinyx reflects the confidence we have in the team and its development strategy and aligns with our mission of delivering innovative treatments to improve the lives of patients.”
Aptinyx Inc. is a clinical-stage biopharmaceutical company focused on the discovery, development, and commercialization of proprietary synthetic small molecules for the treatment of brain and nervous system disorders. Aptinyx has a platform for discovery of novel compounds that work through a unique mechanism to modulate—rather than block or over-activate—NMDA receptors and enhance synaptic plasticity, the foundation of neural cell communication. The company has three product candidates in clinical development in central nervous system indications, including chronic pain, post-traumatic stress disorder, and cognitive impairment. Aptinyx is also advancing additional compounds from its proprietary discovery platform, which continues to generate a rich and diverse pipeline of small-molecule NMDA receptor modulators with the potential to treat an array of neurologic disorders. For more information, visit www.aptinyx.com or follow Aptinyx on Twitter @Aptinyx.
About K2 HealthVentures
K2 HealthVentures is an alternative investment firm focused on providing flexible, long-term financing solutions to innovative private and public companies in the life sciences and healthcare industries. The investment team comprises collaborative, experienced professionals with diverse backgrounds in finance and operations, as well as deep domain knowledge across various healthcare sectors. A uniquely flexible, permanent capital structure enables the firm to provide creative, adaptive financing solutions and meet the evolving capital needs of its portfolio companies as they grow. K2HV is driven by dual goals of Profit and Purpose—aiming to fuel the growth of innovative companies that will ultimately improve the lives of patients and giving a percentage of investment profits back to underserved areas in healthcare. www.k2hv.com
Statements contained in this press release regarding matters that are not historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Such statements include, but are not limited to, statements regarding the company’s business plans and objectives, including future plans or expectations for the company’s product candidates, the potential therapeutic effects of the company’s product candidates, expectations regarding its uses and sufficiency of capital, success and timing of its current and planned clinical studies, and the effect of the COVID-19 pandemic on the foregoing. Risks that contribute to the uncertain nature of the forward-looking statements include: the success, cost, and timing of the company’s product candidate development activities and planned clinical studies; the company’s ability to execute on its strategy; positive results from a clinical study may not necessarily be predictive of the results of future or ongoing clinical studies; regulatory developments in the United States and foreign countries; as well as those risks and uncertainties set forth in the company’s most recent Annual Report on Form 10-K and subsequent filings with the Securities and Exchange Commission. All forward-looking statements contained in this press release speak only as of the date on which they were made. Aptinyx undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made.
Source: Aptinyx Inc.
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Source: Aptinyx Inc.
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