TXN Systems Secures SEK 25 Million Series A for Novel Antibiotic Development

Thioredoxin Systems AB (TXN Systems), a pharmaceutical innovator focusing on antibiotics for multidrug-resistant urinary tract infections (UTIs), has successfully completed a SEK 25 million (approximately USD 2.4 million) Series A funding round. The investment will fuel the development of EbsArgent™, a novel antibiotic specifically designed to combat antibiotic-resistant bacteria causing UTIs. This funding round saw significant contributions from influential life sciences entrepreneurs and investors, including Mikael Lönn, MD, Jens Mogensen, GU Ventures, Vasa Angels, and the state-owned venture capital firm Annexstruktur, as well as Gobia Enterprises, a family-owned firm with a focus on life sciences.

Mikael Lönn expressed his enthusiasm for EbsArgent, highlighting the lack of new antibiotic classes since 1987 and the urgent need for innovative solutions to tackle antibiotic resistance. He praised TXN Systems' pioneering scientific approach and strong team, emphasizing the critical role EbsArgent could play in addressing the growing issue of antimicrobial resistance (AMR).

A recent study published in The Lancet projected that AMR could be responsible for over 39 million deaths globally from 2025 to 2050. In the United States alone, the Centers for Disease Control and Prevention (CDC) report that over 2.8 million bacterial infections occur annually, resulting in approximately 35,000 deaths. Europe faces a similar challenge, with around 35,000 AMR-related deaths each year, as reported by the European Commission. AMR occurs when pathogens develop resistance to the drugs designed to eliminate them.

The funds raised in the Series A round will enable TXN Systems to complete preclinical studies of EbsArgent and initiate Phase I clinical trials targeting UTIs. Multidrug-resistant UTIs are increasingly complicating medical procedures in hospitals, with a significant proportion of patients developing complicated infections that are difficult to treat due to resistance to existing antibiotics.

TXN Systems' CEO, Elias Arnér, MD, PhD, emphasized the critical nature of addressing UTIs that are resistant to multiple antibiotics. He noted that EbsArgent has shown strong efficacy against a wide range of clinically derived bacterial strains, many of which exhibit resistance to most available antibiotics. Arnér expressed gratitude for the support from high-caliber investors and their confidence in TXN Systems' innovative technology.

EbsArgent combines silver ions and ebselen, leveraging a novel mechanism of action. Ebselen targets and disables the essential bacterial thioredoxin enzyme system, while silver ions enhance ebselen uptake, resulting in potent bactericidal activity. This approach has shown no cross-resistance with other antibiotics, likely because the thioredoxin system is not targeted by current antibiotics, and ebselen represents a new molecular type compared to existing treatments.

In preclinical studies using mouse models, EbsArgent demonstrated safety, low toxicity, and significant efficacy against multidrug-resistant gram-negative infections and multidrug-resistant UTIs. The compound also showed promise in preventing biofilm formation in several bacterial strains, including E. coli, which is advantageous since biofilms complicate the treatment of UTIs.

Thioredoxin Systems AB, based in Solna, Sweden, was founded by the late Professor Arne Holmgren, a leading expert in redox biology. Holmgren's groundbreaking work led to the discovery and development of EbsArgent. The company is funded by prominent venture capitalists and private investors in the life sciences sector. TXN Systems is dedicated to addressing the global health threat posed by antimicrobial resistance, which is predicted to cause millions of deaths worldwide by 2050.