NEW YORK, and BUDAPEST, Hungary, April 6 /PRNewswire/ -- N-Gene Research Laboratories, Inc., a privately held biopharmaceutical company developing products to treat insulin-resistance syndrome, announced today that it is receiving a US$3.0 million investment in a Series B/1 round from CORVINUS Venture Capital Funds Management, Ltd., a fund established in October 2005 to invest into Hungarian high tech initiatives.
Proceeds from the offering will be used to fund continued clinical development of N-Gene’s lead product candidates, including BGP-15, a small molecule insulin sensitizer that has completed Phase II clinical trials in Hungary, and NG-SUN, a photoprotection and anti-aging compound in Phase I-II clinical trials in Germany and France.
“The success of this Series B/1 round is a testament to N-Gene’s novel approach to treating insulin resistance and the progress we have made in advancing the clinical development of this important product candidate,” stated Gabor K. Kalman, chairman and CEO of N-Gene. “We are confident that N-Gene has the scientific and managerial expertise to further develop BGP-15 and other high-quality drug candidates, and we look forward to reporting Phase II data on BGP-15 at the 66th Annual Scientific Sessions conference of the American Diabetes Association, June 9-13 in Washington, DC.
According to the scientific literature, mitochondrial dysfunction (Science, 2004, 307, 384) and metabolic overload are considered primary causes of insulin resistance. Deficiencies of nitric oxide synthase (NOS) and heat shock protein functions are also well documented in diabetes. Constitutive NOS (cNOS) derived NO has recently been identified as a regulator of mitochondrial function and biogenesis. The simultaneous cNOS deficiency and mitochondrial dysfunction in diabetes suggests a linkage between the two mechanisms.
N-Gene’s investigative product candidate BGP-15, a new type of insulin sensitizer with a novel mechanism of action, is designed to restore cNOS and inducible heat shock protein (HSP) functions resulting in correction of the damaged activity of mitochondria.
Target Markets
According to IMS Health, oral antidiabetic drugs to treat non-insulin dependent diabetes belonged to one of the largest therapeutic classes in 2005, of which insulin sensitizers represented the largest segment. In 2005, sales of glitazones amounted to more than $5 billion (39 percent of total antidiabetic sales). SG Cowen estimates that in 2006 sales of glitazones will exceed $6.2 billion (42 percent of total antidiabetic market value) with a compounded growth rate of 12 percent, exceeding the compound growth rate of oral antidiabetics (SG Cowen; Therapeutic categories outlook March 2003 - diabetes).
About N-Gene Research Laboratories
N-Gene Research Laboratories, Inc., headquartered in New York City, is a privately held biopharmaceutical company developing drugs for treatment of insulin-resistance syndrome and other metabolic conditions. The company has identified a new class of drugs that function through stimulation of the HSP/cNOS systems, and the subsequent insulin sensitizing effect is mediated by multiple downstream pathways including nitrergic neuronal, direct cellular and mitochondrial mechanisms. N-Gene’s wholly owned subsidiary, N-Gene Kutatasi es Fejlesztesi Ltd., is located in Budapest, Hungary. Additional information is available at http://www.n-gene.us.
CONTACT: Gabor K. Kalman Chairman and CEO N-Gene Research Laboratories 212-605-0225 Matthew D. Haines (Investors and Media) Vice President Noonan Russo 212-845-4235
N-Gene Research Laboratories, Inc.
CONTACT: Gabor K. Kalman, Chairman and CEO of N-Gene ResearchLaboratories, Inc., +1-212-605-0225; or Matthew D. Haines, Vice Presidentof Noonan Russo, +1-212-845-4235, for N-Gene Research Laboratories, Inc.
Web site: http://www.n-gene.us/
