Another $45 Million supporting dog lifespan work (and their initial drug for lowering IGF1 in dogs). Seems like a good vote of confidence on the longevity market, and the targeted pathways (IGF1, etc.).
Seems like a ton of money to bring out their own version of Somavert or Pegvisomant & Octreotide (IGF-1 inhibiting drugs already on the market, which I believe the Loyal drugs will likely be similar to).
Drugs that are already on the market that reduce growth hormone production (somatostatin analogues), all for people and very expensive.
- Octreotide / Octreotide LAR (Depot) , Sandostatin LAR
- Lanreotide (Somatuline) Depot
- Bynfezia (pen), octreotide acetate
- Signifor LAR (Pasireotide)
And there is a tablet-based one called Mycapssa from Amryt Pharma (but since its for humans, very expensive).
One way to look at Loyal is that they are a discount Pharma company, because it seems like their early drugs are all going to be similar to existing (expensive) human drugs, just cheaper (because major insurance companies aren’t paying for them). And I also assume dog health insurance companies won’t pay for the drugs. So, its all going to be direct payments by the dog owners.
I know all the formalities, FDA clinical trials, etc. take a ton of money, even for dogs. And they are following the path that other companies have already done in this IGF1 segment of the market taking what was an injection and making it into a tablet for better consumer acceptance.
The valuation of this round sounds reasonably good. The WSJ notes:
Loyal’s valuation increased, said founder and chief executive Celine Halioua, but she declined to comment on specific figures. Research firm PitchBook Data put the San Francisco startup’s valuation in its prior round in 2022 at $220 million.
We don’t know if thats pre or post-money valuation, but the trend looks good.
And, for people who are interested in the field, this type of funding progression and valuation should get people more interested in doing startup companies in the area.
Typically in tech/biotech startups of this type the CEO/Founder has approx. 10% to 15% of the stock, and so Celine’s share of the company could be worth over $20 million or $30 million + if they can implement well and get the drug to market and it has a reasonable reception by consumers.
Related: Another (likely) Longevity Drug - Somavert / Pegvisomant
Source: https://x.com/celinehalioua/status/1770835850928050686?s=20
Details here:
Dog Longevity Startup Loyal Secures $45 Million in Funding (Wall Street Journal)
And the Loyal Blog covering this announcement: