KeyNeurotek completes €8.2M third funding round

Funding

KeyNeurotek Pharmaceuticals AG, a specialist in autoimmune and neurodegenerative diseases has announced the second closing of its third private financing round at €8.2 million. All the existing main investors, DVC Deutsche Venture Capital of Munich, IBG Beteiligungsgesellschaft of Magdeburg and KfW of Bonn participated.

The money will be used for the further development of KeyNeurotek’s portfolio of products for treatment of conditions including traumatic brain injury and aconuresis (urinary incontinence). The company’s lead compound KN38-7271, a dual cannabinoid CB1/CB2 receptor agonist, is currently being investigated in a multinational Phase IIa study in comatose traumatic brain injury patients to prove its clinical safety and tolerability.

The results of the study are expected this summer. KN38-7271 has European Orphan Drug Designation. The second product, KN203, a µ-opioid receptor agonist with distinct effects on bladder muscle contraction, is being prepared for a Phase IIa / proof-of-concept trial in 180 patients with urinary incontinence or overactive bladder.

Jürgen Gerlach, Managing Partner of DVC, said, “KeyNeurotek has successfully executed its strategy to build a promising clinical portfolio of CNS drugs in difficult times, and we therefore are very committed to support the further development of the company and its projects.”

Dr Frank Striggow, CEO of KeyNeurotek Pharmaceuticals, commented, “Of course, we are extremely pleased about being able to close this important transaction during challenging times. Based on our leading product and technology profile, this investment will enable us to achieve further value creating milestones.”

KeyNeurotek was founded in 2000 in Magdeburg, one of the leading centres for neuroscience research in Europe.