Biotech Startup Adagio Therapeutics, Focused on COVID-19, Secures $336 Million in Funding

By Mariliana Fotopoulou Monday, April 19, 2021

Biotech startup company Adagio Therapeutics raised $336 million in the Series C funding round from RA Capital Management. Other notable investors also took part in the fundraising, including new investors Redmile Group, Federated Hermes, Foresite Capital, ArrowMark Partners, PremjiInvest, among others.

3D illustration of a DNA strand.

Founded Only Last Year

Adagio Therapeutics is a US-based biotech startup company that develops first-class antibodies to neutralize COVID-19, as well as other variants of the virus. The startup company plans to use the new capital to continue developing “ADG20,” its lead clinical candidate for both the treatment and prevention of COVID-19.

The therapy developed by the newly-formed biotech business differs from other antibody treatments developed to treat coronaviruses as it has the ability to effectively and durably neutralize multiple sarbecoviruses, including COVID-19 and its variants.

Adagio’s preclinical data, which was validated by the University of Oxford, showed that ADG20 is a highly potent antibody treatment that can completely neutralize COVID-19 and all of its known variants.

“The COVID-19 pandemic continues to be a major health crisis worldwide, and even with emergency use authorizations for vaccines and antibody-based therapies, there remains a significant need for medications to treat and prevent COVID-19 infection,” said Tillman Gerngross, Ph.D., co-founder and CEO of the startup business.

The company has commenced a Phase 1 trial of ADG20 with healthy volunteers, as well as pivotal Phase 1, 2, and 3 clinical trials in volunteers that have mild or moderate coronavirus symptoms, known as the STAMP trial.

This trial is meant to facilitate Adagio Therapeutics with the advancement of ADG20 to proof-of-concept data. If successful, Adagio Therapeutics will obtain the Emergency Use Authorization (EUA) submission. The startup company is expected to begin its third clinical trial in the second quarter of this year and test its treatment for the prevention of symptomatic COVID-19.

“As we mapped out the vaccine and therapeutic landscape in the face of emerging SARS-CoV-2 variants, we recognized that the world is going to need the kind of convenient, potent and long-lived, broadly neutralizing antibodies that Adagio has developed,” said Peter Kolchinsky, Ph.D., managing partner of RA Capital.

Kolchinsky adds that the developed antibodies will be used to treat patients as well as passively vaccinate the millions of patients who don’t mount a strong enough response to available vaccines. This way, these people will also be able to contribute to herd immunity.

For this process to be implemented, large-scale manufacturing has to happen in the first place, says Kolchinsky, as it makes sense to put those resources toward the best antibodies.

Earlier this year, the biotech business welcomed Jane Pritchett Henderson as Adagio Therapeutics’s new CFO. Henderson has more than 30 years of experience in financial and business corporate strategy.

She also has extensive experience in growing private and public biotech businesses, including Turnstone Biologics, Voyager Therapeutics, Kolltan Pharmaceuticals, and ISTA Pharmaceuticals. The newly-formed startup business hopes to use her experience to further improve execution of its business strategy.

Summary

Adagio Therapeutics, a biotech company that develops antibodies to neutralize the COVID-19 virus, and other emerging variants, announced today it has closed a new $336 million funding round led by RA Capital Management.

About the Author


Headshot for author Mariliana Fotopoulou

Mariliana has an MSC in consumer analytics and business strategy. She has a special interest in fast-moving industries and big data.

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