Canadian Biotech KisoJi Secures $41 Million to Push KJ-103 into Clinical Trials

KisoJi Biotechnology, a Canadian biotech firm focused on antibody-based therapies, has closed an equity financing round for $41 million, including the conversion of previously issued convertible debentures. Investissement Québec and Lumira Ventures led the round, which also included Fonds de solidarité FTQ, adMare BioInnovations, and Remiges Ventures.

The company intends to use the recently acquired funding to take its lead asset, KJ-103, the first potent naked antibody targeting TROP2, into human clinical trials for solid tumor indications. In addition, the proceeds will be used to further develop KisoJi’s antibody discovery platform that is looking to generate new therapeutic antibodies for various diseases, including cardiometabolic diseases and immunology and inflammation.

Key Funding and Strategic Partnerships

The investment comes at a pivotal time for KisoJi, as the company looks to progress KJ-103 through critical preclinical stages and into human trials. A significant milestone in this journey is KisoJi’s partnership with Cancer Research UK, one of the world’s leading cancer research organizations. This collaboration will support the advancement of KJ-103 into a first-in-human clinical trial involving nearly 100 patients.

According to Investment Québec’s president and CEO, Bicha Ngo, “This funding will enable KisoJi Biotechnology to reach critical milestones in its operations, from the completion of preclinical activities to the initiation of clinical trials, notably through a historic agreement with Cancer Research UK.”

Unique Approach to Cancer Treatment

KisoJi’s approach to targeting TROP2, a protein overexpressed in various cancers, is innovative. While most existing drugs targeting TROP2 are antibody-drug conjugates (ADCs) that deliver a cytotoxic payload to cancer cells, KJ-103 operates differently. Rather than relying on a toxic payload, KJ-103 works by recruiting immune cells to attack and kill tumor cells. This method is designed to enhance the immune system’s natural ability to combat cancer, offering an alternative to traditional chemotherapies and ADCs.

Lumira Ventures’ managing director, Daniel Hétu, commented, “Lumira is proud to have supported the development of KisoJi’s innovative platform from its inception and we look forward to continuing to work with the company as KisoJi transitions its proprietary programs to the clinical stage. “

Moving Beyond Oncology

Besides improving its treatments for cancer, KisoJi is looking to expand its antibody platform into other therapeutic areas. The company uses an AI-enabled antibody discovery platform, powered by cutting-edge technologies such as KisoSeek and KisoMouse.

KisoSeek serves as a paratope map representing immune responses to particular targets, improving the further development of therapeutic antibodies. The company also developed KisoMouse, a suite of camelid transgenic mice, that generate single-domain antibodies. Such antibodies are used for populating the antibody database established by KisoJi and form the basis of creating a broad range of therapeutic antibodies.

With these technologies, KisoJi develops multi-specific antibodies using its KisoBody platform. KisoBody is a modular system which allows the tailoring of antibodies and the company has reached very high production levels of tri-specific antibodies: over 6 g/L in commercial production cell lines.

Maxime Pesant, vice president of life sciences private equity at Fonds de solidarité FTQ, commented, “The Fonds de solidarité FTQ is proud to reaffirm its commitment to KisoJi, a very innovative company with which we have been partners from the start together with Lumira.”

Growth and Development Plans

This new funding will allow KisoJi not only to move its lead oncology asset, KJ-103, into the clinical trials but also scale the company’s research and development capabilities. It will grow the company’s teams of scientists, engineers, and AI specialists to further develop its platforms in oncology, cardiometabolic diseases, and immunology.

According to the chief executive officer, David Young, “This financing, through the support of our new and existing investors, will enable KisoJi to continue its development of pipeline assets in oncology, cardiometabolic and immunology indications using our cutting-edge platform and AI tools.”

The company’s diversification into cardiometabolic and immunology treatments further points to its potential as a leader in multiple therapeutic areas. KisoJi, by leveraging its advanced antibody discovery platform and AI-powered tools, is positioned to address a wide range of unmet medical needs.

Strategic Advisory and Leadership

Apart from funding, KisoJi also received strategic guidance through Evolution Venture Partners, which acted as the exclusive strategic advisor for this transaction. This partnership will aid KisoJi in navigating the complex process of taking innovative biotechnologies to market.

KisoJi, combining breakthrough technologies with its well-seasoned leadership team with members like David Young, sets it up for continued success in producing next-generation antibody therapeutics. KisoJi is primed to be a major player in the future of biotechnology with its focus on some of the toughest-to-date diseases like cancer and its expansion into areas such as cardiometabolic conditions.

source: yahoo finance