Draig Therapeutics secures US$140M series A to advance neuropsychiatric therapies

UK—Draig Therapeutics, a clinical-stage biotech company focused on transforming treatments for neuropsychiatric diseases, has officially launched after operating in stealth mode.

Over the past nine months, the company successfully raised US$140 million (£107 million) in funding, signaling strong investor confidence in its innovative approach.

The oversubscribed Series A financing round was led by Access Biotechnology, with significant participation from Canaan Partners, SR One, Sanofi Ventures, Schroders Capital, and seed investors SV Health Investors and ICG.

 Notably, SV Health Investors co-founded Draig and, together with ICG, provided the initial seed funding that helped build the company from the ground up.

Liam Ratcliffe, Head of Access Biotechnology, highlighted the ongoing challenges in treating neuropsychiatric disorders despite the availability of many therapies.

 He emphasized that many patients still suffer from inadequate symptom relief and high relapse rates.

Ratcliffe expressed optimism about Draig’s unique strategy, which targets the fundamental mechanisms underlying these complex conditions, offering hope for a genuine breakthrough in patient care.

Draig was established through a partnership between Cardiff University’s Medicines Discovery Institute and SV Health Investors, officially launching in 2024.

 The company’s scientific foundation rests on the expertise of Professors John Atack and Simon Ward, who specialize in safely modulating key brain pathways involving glutamate and GABA neurotransmitters.

These pathways are crucial in neuropsychiatric disorders, and their research underpins Draig’s pipeline of novel drug candidates.

Both founders serve as Directors of the Medicines Discovery Institute at Cardiff University and have attracted a world-class leadership team.

This team includes seasoned industry professionals with proven success in developing innovative therapies and building biotech companies.

Ruth McKernan, Operating Partner at SV Health Investors and Executive Chair of Draig, remarked that developing molecules to rebalance brain networks has been the life’s work of Professors Atack and Ward.

She described being part of creating Draig as a professional highlight, reflecting the company’s immense potential.

Charles Dunn, Principal at SV Health Investors, added that Draig’s bold scientific vision and the founders’ deep expertise in targeting previously difficult-to-drug neuropsychiatric pathways made the company an attractive investment.

He noted that Draig exemplifies SV Health Investors’ strategy of building world-class companies around cutting-edge science to deliver impactful new treatments.

The newly raised funds will primarily support the advancement of Draig’s lead candidate, DT-101, a next-generation positive allosteric modulator (PAM) of the AMPA receptor.

This drug is designed to modulate the receptor effectively while maintaining a strong safety profile.

Phase 1a trials involving over 60 participants demonstrated good tolerance and clear target engagement, verified through advanced magnetoencephalography techniques.

Draig plans to initiate Phase 2 trials for DT-101 in Major Depressive Disorder in 2025.

In addition to DT-101, Draig is progressing two highly selective GABAA receptor modulators toward clinical development, expected in 2026.

These candidates have the potential to become best-in-class treatments for a range of common yet underserved neuropsychiatric conditions.

Samantha Budd Haeberlein, Venture Partner at ICG and former Chief Medical Officer of Draig, highlighted the strength of the company’s pipeline and investor backing.

She expressed confidence that Draig is well-positioned to make a meaningful impact on neuropsychiatric disease treatment.

The company’s executive team combines deep expertise in biotech and pharmaceutical development.

Key members include Inder Kaul, MD, Chief Medical Officer (formerly at Bristol Myers Squibb and Karuna Therapeutics); Florian Islinger, MD, Chief Commercial Strategy Officer (formerly at Roche); and David Watson, Chief Operating Officer (formerly at Biogen).

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