California Berkeley-based clinical-stage biotechnology startup Carmot Therapeutics, Inc. has closed a $160 million Series D financing. The startup is applying its proprietary drug discovery platform, Chemotype Evolution for developing therapies focused on metabolic disease—like diabetes and obesity—and cancer. Founded in 2008, the company has raised nearly $235 million to date.
The Chemotype Evolution platform helps identify novel covalent inhibitors and new therapeutics. With the new funding, Carmot has the cash to support its multiple Phase II studies and a Phase I study of its current lead candidates, which are incretin modulators that treat obesity and several of its co-morbidities, including type 2 diabetes.
The financing was led by The Column Group with a significant investment from a new investor, RA Capital Management. Deep Track Capital, Willett Advisors, Horizons Ventures and other institutional investors also participated in the round. With the financing, RA Capital will hold a Board Observer seat at Carmot.
Funding will assist in finding treatment for diabetes and obesity
“While GLP-1 based therapeutics have helped many patients, we now expect the treatment of obesity and its many co-morbidities, including type 2 diabetes, to be transformed by drugs modulating both GLP-1 and GIP,” said Derek DiRocco, Partner at RA Capital Management.
“Recent publicly available data illustrate this dual mechanism’s superior efficacy and tolerability profile. Carmot Therapeutics is among the leading companies in leveraging dual incretin receptor modulation, and CT-388 has the potential to be best-in-class. We are very excited to be working with the Carmot team to advance their diverse clinical pipeline of incretin modulators,” added Derek.
Carmot applies the Chemotype Evolution drug discovery platform and unique biological expertise to identify and innovate superior therapeutics. Carmot combines CE with novel insights into incretin receptor signaling in metabolic disease to develop a broad, valuable pipeline of peptide-based and small molecule therapeutics.
“We are delighted to secure funding from a pre-eminent group of investors that will advance our clinical programs for treating diabetes and obesity. By leveraging Chemotype Evolution, Carmot has uncovered novel biology and identified incretin modulators with superior efficacy,” said Stig K. Hansen, Carmot’s co-founder and Chief Executive Officer.