NRG Therapeutics clinches oversubscribed $67m Series B

The financing was led by SV Health Investors’ Dementia Discovery Fund (DDF), a specialist venture fund dedicated to investing in companies developing or enabling novel therapeutics for dementia.

DDF was joined by a syndicate of leading international life science venture investors: British Business Bank, M Ventures, Novartis Venture Fund and Criteria Bio Ventures alongside existing investors Omega Funds and Brandon Capital. Founding investor Parkinson’s UK via its drug development arm the Parkinson’s Virtual Biotech, remains an active and supportive investor.

The funding will enable NRG Therapeutics – based at Stevenage Bioscience Catalyst – to achieve clinical proof of concept in amyotrophic lateral sclerosis (ALS)/motor neurone disease (MND), while also generating meaningful clinical data in Parkinson’s patients through a Phase 1b study.

NRG’s lead development candidate, NRG5051, has been shown to be profoundly neuroprotective and significantly reduces neuroinflammation in pre-clinical models of Parkinson’s and ALS/MND. NRG5051 has completed IND-enabling studies and is on track to enter first-in-human clinical studies in early 2026. The Series B money funds development through clinical proof of concept (PoC) studies in ALS/MND.

NRG Therapeutics’ co-founder and CEO Neil Miller said: “I am delighted to welcome our new investors and thank our current investors for their unwavering support. Developing new drugs to treat neurological diseases is very challenging but is receiving increased interest given the high unmet medical need and growing prevalence in aging populations.

“These new funds provide the runway to advance our lead programme through PoC in ALS/MND, and to develop our portfolio of small molecule candidate drugs for other indications including Parkinson’s, offering new hope to the growing number of people and their families impacted by neurodegenerative disorders.”

NRG has identified a novel regulator of the mitochondrial permeability transition pore (mPTP) which is essential for pore opening and amenable to small molecule inhibition. This breakthrough has enabled NRG to develop a new class of small molecule mPTP inhibitors which are designed to penetrate the brain effectively when taken orally.

Mitochondria are crucial for energy production, especially in substantia nigra neurones (Parkinson’s) and motor neurones (ALS/MND) which have high energy demands and consequently are particularly sensitive to mitochondrial health.

The pathological proteins in Parkinson’s (a-synuclein) and ALS/MND (TDP-43) are toxic to mitochondria and contribute to mitochondrial dysfunction which is a common underlying pathology in neurodegenerative diseases. Inhibition of mPTP opening has been shown to protect mitochondria from this gain-of-function protein toxicity and to preserve neurones in pre-clinical models.

Parkinson’s is one of the fastest growing neurodegenerative conditions with a global prevalence predicted to double by 2050. There is currently no treatment available to slow or halt progression of Parkinson’s, with existing medicines providing temporary symptomatic relief only.

ALS/MND is a rare, rapidly progressing neurodegenerative disease with high unmet medical need. In 2023 the FDA approved Qalsody (tofersen) as a disease-modifying treatment for a rare genetic (SOD1) form of ALS/MND based on a blood-based biomarker endpoint. However, the majority of patients with sporadic disease remain poorly treated by existing medicines.

In association with the Series B raise, Laurence Barker (SV Health Investors), Emma Johnson (British Business Bank), Charlotte Kremers (M Ventures) and Florian Muellershausen (Novartis Venture Fund) will join NRG’s board. NRG has also appointed Professor David Dexter, Director of Research at Parkinson’s UK, as a special adviser on Parkinson’s.

Zickie Lim, partner and head of venture capital investment at leading national law firm Mills & Reeve, advised NRG on its latest financing. In 2022, the team also advised the company on its £16 million Series A funding.

Lim said: “We are thrilled to have advised NRG on its oversubscribed £50 million Series B financing, which represents another significant milestone for both the company and our team. NRG’s pioneering work in targeting mitochondrial dysfunction addresses one of the most fundamental drivers of neurodegeneration, with the potential to transform treatment options for people living with Parkinson’s and ALS/MND.

“Supporting this business from its earliest days, from start up through to this vital fundraising, has been an absolute privilege and underscores our ongoing commitment to helping early stage life sciences companies through their entire fundraising and growth journey and product lifecycle.”

Led by Zickie Lim, the Mills & Reeve team included Rae Huizar and Bradley Greenwood on the corporate aspects, along with James Fry, head of life sciences, and James Field on intellectual property and commercial contracting matters.