Watertown, Massachusetts-based Lyra Therapeutics closed a Series B financing worth $29.5 million. Its lead compound is LYR-210, which the company plans to take into a Phase II clinical trial for chronic rhinosinusitis
Watertown, Massachusetts-based Lyra Therapeutics closed a Series B financing worth $29.5 million. The round was led by Perceptive Advisors and included new investors RA Capital Management, ArrowMark Partners and Soleus Capital. Existing investors Polaris Venture Partners, North Bridge Venture Partners and Intersouth Partners also participated.
Lyra focuses on developing therapeutics for ear, nose and throat (ENT) diseases. Its lead compound is LYR-210, which the company plans to take into a Phase II clinical trial for chronic rhinosinusitis. It also plans to use its proprietary transmucosal platform for other ENT diseases.
The transmucosal therapeutic system is made up of a drug administered via a polymeric matrix. It is designed to target ENT diseases, and provide the drug directly to diseased tissues that aren’t reached by conventional approaches. In other words, it uses a nasal insert to deliver drugs rather than pills or nasal sprays. It is made up of a long-acting medication custom formulated for consistent topical dosing over several months and the polymeric matrix, which has the flexibility to contour to the treatment area. It would be administered by a physician in the office and can be easily removed. It is also biodegradable.
“We are delighted by the strong interest in this Series B fundraising and are excited to broaden our investor base by having Perceptive Advisors, RA Capital Management, ArrowMark Partners and Soleus Capital join our existing investors,” said Maria Palasis, president and chief executive officer of Lyra, in a statement. “With this funding and the progress of LYR-210 in the clinic, we believe Lyra is well positioned to achieve our goal to transform the ENT treatment paradigm by providing effective front-line solutions for physicians and new treatment options for their patients. We are excited to rapidly move forward with our Phase II clinical plans for LYR-210 for chronic rhinosinusitis, a disease for which millions of patients seek new treatment options and alternatives to surgeries.”
LYR-210 is designed to deliver a custom long-acting formulation of an already approved steroid, ometasone furoate, deep into sinus tissues.
The company is presenting results from its Phase I trial of LYR-210 in October at the 64th Annual Meeting of the American Rhinologic Society (ARS) in Atlanta. The presentation will be provided by Richard Douglas, the lead investigator of the trial. Douglas is a professor of Surgery at The University of Auckland, New Zealand, and Consultant Surgeon at Auckland City Hospital. The title of the presentation is, “Phase I clinical study to assess the safety of a novel drug delivery system providing long-term topical steroid therapy for chronic rhinosinusitis.”
Lyra Therapeutics was founded in 2018 by George Whitesides and Robert Langer. Whitesides is the Woodford L. and Ann A. Flowers University Professor at the Department of Chemistry and Chemical Biology at Harvard University. Langer is an Institute Professor in the Department of Chemical Engineering at the Massachusetts Institute of Technology.
Lyra was previously 480 Biomedical, which was founded in 2011 by Langer, Whitesides and Carmichael Roberts. Roberts is a general partner with North Bridge Venture Partners, as well as founder and managing partner of Material Impact. The original focus of 480 Biomedical was bioresorbable scaffold to treat occlusive diseases in the superficial femoral artery (SFA). But a shift in the market convinced Palasis and other executives to re-brand and refocus the company on the ENT market.
The company now has 20 employees, but is expected to grow 50 percent in the next 18 months.
