British firm raises $250M for dementia drug development

SV Health Investors, a UK-based investment firm, has successfully raised $250 million for the advancement of pioneering treatments for dementia. This initiative marks the firm's second Dementia Discovery Fund (DDF). The final financial boost was provided by British Patient Capital, a subsidiary of the British Business Bank, which pledged 25 million pounds on March 20. This fund aims to capitalise on a decade of research advancements to foster the development of innovative dementia therapies.

Dementia has become the predominant cause of mortality in the UK, with significant repercussions for both patients and their families. Globally, the financial burden of dementia is projected to surpass $2.8 trillion by 2030. Christian Jung, Ph.D., a managing partner at SV Health Investors, highlighted these figures in a recent announcement. DDF-2 will replicate the strategy of its predecessor by investing in and nurturing biotech companies from the UK and internationally. These enterprises are focused on delivering transformative, impactful treatments in the dementia sector.

Since the establishment of the original DDF in 2015, it has facilitated the clinical entry of 11 medical assets. The second fund has already initiated four investments. The beneficiaries include US-based Montara Therapeutics, Sudo Biosciences, and Violet Therapeutics, alongside UK-based Trimtech Therapeutics. Currently, Montara, Violet, and Trimtech are in the preclinical phase of development, while Sudo Biosciences is advancing with two TYK2 inhibitors in phase 1 clinical trials.

In December, Sudo Biosciences administered the first dose of its brain-penetrating neuroinflammation candidate, SUDO-550, to a healthy volunteer in a phase 1 dose-escalation clinical trial. Concurrently, Sudo's topical treatment for psoriasis, SUDO-286, is progressing through two phase 1 trials of its own.

The initial Dementia Discovery Fund concluded in 2018, having raised 250 million pounds. Contributions came from major pharmaceutical companies such as Biogen, Eli Lilly, GSK, Johnson & Johnson, and Pfizer. This first fund supported the development of 16 companies, including Alchemab Therapeutics, which has since established significant collaborations with pharmaceutical giants AstraZeneca and Eli Lilly.

The second iteration of the Dementia Discovery Fund seeks to build on these accomplishments, continuing to drive innovation and progress in the battle against dementia. By investing in cutting-edge research and development, SV Health Investors aims to bring about high-impact treatments that could potentially transform the landscape of dementia care and offer hope to millions affected by this debilitating condition.