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Pharma Tech Outlook | Monday, April 26, 2021
The European Investment Bank (EIB) and BioVersys AG announced the signing of a €20 million venture debt transaction.
FREMONT, CA: The European Investment Bank (EIB) and BioVersys AG, a clinical-stage pharmaceutical firm developing medications for multidrug-resistant bacterial infections, recently announced the signing of a €20 million venture debt transaction. The funding will go into the company's research and development of a diverse pipeline of drugs that targets antimicrobial resistance (AMR). Due to AMR, most of their antimicrobial treatments have become ineffective, making the global population vulnerable to an ever-widening spectrum of infections. The probability of a bacterial pandemic is generally acknowledged as a real risk.
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BioVersys' groundbreaking hospital antibiotic treatment, BV100, addresses resistant Acinetobacter baumannii, one of the World Health Organization's (WHO) highest priority pathogens. The drug is being used for the treatment of COVID-19 patients who suffer from ventilator-associated bacterial pneumonia. There are presently few effective and safe treatments available for this infection. Infections developed due to resistant Acinetobacter baumannii have a disastrous mortality rate of more than 50 percent due to antibiotic resistance. BVL-GSK098, a small molecule in the BioVersys pipeline, is being tested for multi-drug resistant tuberculosis infections, one of the top ten killers globally, with 1.5 million deaths each year.
"There have been no new classes of antibiotics on the market for decades," said EIB Vice-President Thomas Östros. "This comes at an enormous cost for people and our societies at large. If we do not manage to curb AMR, it will not only kill thousands of people every year, but it will also drive millions into poverty. I am therefore very pleased that the EIB can contribute to the financing of a company that might hold the key to alleviating some of the most pressing health issues we currently face."
"Being the first Swiss biotech company to receive a venture loan from the EIB is an independent validation of the relevance and quality of the BioVersys product pipeline. AMR has been widely recognized as the top priority health threat by the WHO, G7 and G20. BioVersys develops novel drugs addressing some of the most serious infections caused by drug resistant bacteria. The funds from the EIB, together with our recent Series B closing of CHF 19 million, enable us to push our clinical development programmes forward and further strengthen the company as the leading European private biotech AMR player," said Marc Gitzinger, CEO and founder of BioVersys
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