Follows $25 Million in Corporate Commitment Last December
Company's Novel Anti-Infective Has Robust Runway
DURHAM, N.C. /PRNewswire/ -- KNOW Bio, LLC, (the Company or KNOW Bio), an RTP based conglomerate of biotechnology and MedTech companies, announced today that the Company has completed its next round of financing with a single investor, Reedy Creek Investments, LLC (Reedy Creek).
The financing provides $30 million in additional funds for research & development and general operations. Vast Therapeutics, one of the Company's majority owned subsidiaries, is working on a range of products with the top objective to deliver solutions to battle respiratory infections in patients with cystic fibrosis (CF). Currently, 80% of the CF population will succumb to infections in what is now an average lifespan of 40 years. The Company has eradicated 29 strains of Pseudomonas aeruginosa (PA), the primary pathogen that causes the majority of exacerbations in CF patients. At all ages, CF patients are at risk of being hospitalized for months at a time using antibiotics capable of only managing the PA infection. The Company's therapeutics in development have shown efficacy in both in vitro lab testing and in animal models including the ability to eradicate the aggressive bacteria from the sputum of actual CF patients.
Neal Hunter, CEO and Chairman of the Board of Managers of KNOW Bio stated "The ability to partner with Reedy Creek is a real benefit for our company and prospective patients. With this investment, our team will push forward advancement of our research in nitric oxide-enabled technologies at a more rapid pace as we have a duty to get this promising technology into patients of need. Our objective is to completely disrupt the paradigm of treating infections, especially antibiotic-resistant bacteria. We believe our technology can solve a major problem at a time when that problem is creating a dire situation for public health. This investment will allow us to take multiple drug candidates forward in parallel and complete studies at a faster pace bringing a solution to those in need much more quickly. We look forward to the great things ahead for our Company, investors and most importantly, those prospective patients."
John Oakley, the Company's CFO added, "It's an important time at KNOW Bio. We have now matched our technical innovation with strong financial execution that can allow us to execute a multi-year, robust plan across our subsidiaries. While our plan is to build out teams for each operating company and add needed equipment and facilities, we will continue to operate using a strategy of leveraging our small team with effective partners. Such a system utilizes capital more efficiently by keeping fixed costs low while maximizing productivity."
KNOW Bio is expanding its team in selected high impact areas by initiating searches for a Vice President of Drug Development, Chief Medical Officer, Clinical Operations Specialist, B2C Sales Director for Medical Devices and a Controller for the combined group. Contact the Company if you would like to join this fast-paced team to bring needed solutions to today's world.
About Neal Hunter
Neal Hunter, Chairman of the Board and CEO of Vast Therapeutics, has a 25-year track record of successfully raising capital for and building technology companies in both the public and private markets beginning as a Co-founder of Cree, Inc. Mr. Hunter served multiple roles at Cree, including as the public company CEO and Chairman from 1994 to 2001 and then Chairman until 2005. He was also instrumental in the creation and start-up of LED Lighting Fixtures, Inc. which he co-founded in 2005 to accelerate the use of LEDs in general illumination applications and sold in 2008 for over $100M. In total, Mr. Hunter has been either co-founder, founder, co-founding investor or founding investor in over ten significant start-up ventures in the areas of semiconductor materials and devices, aesthetic materials, software, commercial and residential real estate, LED lighting systems and life sciences. Mr. Hunter's proven expertise in technology transfer, from inception of innovations to the creation of market-changing products, has led to the transition to his new role as Managing Director of KNOW Bio.
Except for historical information, all of the statements, expectations, and assumptions contained in this press release are forward-looking statements. Actual results might differ materially from those explicit or implicit in the forward-looking statements. Important factors that could cause actual results to differ materially include: risks associated with the drug development process; reliance on key personnel; the early stage of our business; competition; and other risks described in other Company press releases and presentations. KNOW Bio and its subsidiaries assume no obligation and do not intend to update these forward-looking statements, except as required by law.
Darlene Dendy, Director of Administration
John Oakley, Chief Financial Officer