Diffusion Pharmaceuticals Closes on $5.9 Million Financing
CHARLOTTESVILLE, Va., Jan. 29 /PRNewswire/ -- Diffusion Pharmaceuticals LLC, a clinical-stage drug-development company commercializing first-in-class drugs to treat serious or life-threatening unmet medical conditions, today announced that it closed on $5.9 million in additional private financing during the second half of 2009, bringing the total the company raised in 2009 to $7.1 million. The financing was a combination of private equity and convertible notes to existing investors. Proceeds will support the company's ongoing operations, including completion of a Phase I/II clinical trial in peripheral arterial disease (PAD) patients for its lead drug compound, trans sodium crocetinate (TSC). "The successful financing in 2009 gives us the ability to complete our ongoing clinical trial in PAD and position the company for critical post proof-of-concept activities," said David G. Kalergis, Chief Executive Officer. Since its founding, Diffusion Pharmaceuticals has raised a total of $21.7 million to date including $19.1 million in private funds, and $2.6 million in Department of Defense research and development contracts. About Diffusion Pharmaceuticals LLC Diffusion Pharmaceuticals LLC is a clinical-stage drug-development company commercializing a family of first-in-class drug candidates to treat serious or life-threatening medical conditions. These proprietary small molecules use a novel method of action to enhance oxygen diffusion to oxygen-deprived (hypoxic) tissue. Potential clinical applications include cancer, critical care uses such as trauma, hemorrhage, stroke, and heart attack, as well as chronic conditions such as peripheral arterial and vascular disease, cardiovascular disease, and respiratory disorders. A Phase I study in healthy subjects for Diffusion's lead molecule, trans sodium crocetinate (TSC), was successfully completed in 2007. The company is currently completing enrollment in a Phase I/II dose-range-finding, safety and efficacy study of TSC in peripheral arterial disease patients suffering from intermittent claudication. This study is designated NCT00725881 on the clinicaltrials.gov Website. Diffusion Pharmaceuticals, which is privately held, is located in Charlottesville, Virginia. For more information, visit www.diffusionpharma.com.