LA JOLLA, Calif. and SHANGHAI, June 11, 2014 /PRNewswire/ -- RuiYi, Inc., a global therapeutic innovation leader, announced today the close of a $4 million debt financing from Silicon Valley Bank to advance a pipeline of novel monoclonal antibodies (mAb) targeting G protein coupled receptors (GPCRs). RuiYi plans to file an IND and initiate clinical trials in multiple countries in 2015 for the company's lead asset, RYI-008, a novel anti-IL-6 mAb for rheumatoid arthritis and cancer. RuiYi will also be advancing RYI-018 into preclinical studies. Identified via RuiYi's iCAPS™ platform, RYI-018 is a first-in-class monoclonal antibody to cannabinoid receptor 1 (CB-1), a commercially validated but previously intractable drug target.
"This non-dilutive financing from Silicon Valley Bank will support multiple pipeline advancements, including moving RYI-018 through protein engineering for IND-enabling studies, bringing RYI-008 into clinical trials and discovering additional drug candidates from our iCAPS platform," said Paul Grayson, president and CEO, RuiYi. "Drug discovery and development is, by nature, a cost-intense business. To develop innovative, new medicines that can help patients and also be accepted by payers around the world, we are conscientious about using our capital most efficiently."
Lei Lu, Senior Vice President of Finance & Operations added, "We appreciate this additional funding mechanism SVB brought to us. With RuiYi's strategy of controlled burn and development through regional partnering, this funding, together with the $15m Series B financing closed in March, 2014, provides the company significant additional runway. The key to a successful financing is generating the appropriate combination of equity financing and debt to reach substantial valuation inflection points. Silicon Valley Bank has been a vital part of this equation for multiple industries for decades."
"Providing companies such as RuiYi with capital to get through key value creating corporate milestones is an important way for us to expand SVB's relationship with our clients," said Mike White, managing director, Silicon Valley Bank. "By developing novel therapeutics, RuiYi is a trailblazer in finding innovative ways to help patients around the world. We are pleased to provide RuiYi with additional financing flexibility so that they can bring new medicines to market with a capital efficient path."
RuiYi's first drug candidate, RYI-008, a novel anti-IL-6 monoclonal antibody, has a unique pharmacologic profile with the potential to define a new paradigm in the treatment of autoimmune diseases and cancer. Last year, RuiYi announced a collaboration with Genor BioPharma to develop the antibody in China. In addition, from iCAPS, RuiYi has identified another drug candidate, RYI-018 for peripheral disease, which is highly specific and selective to CB-1, a known therapeutically relevant and commercially validated GPCR target.