Sangart Inc. will be looking at further clinical development as they receive their Series G equity funding worth $50 million from Leucadia National Corporation. The latter is already an existing investor.
Sangart Inc. has now raised over $280 million in financing.
The company’s CEO Brian O’Callaghan happily shares more information about this recent funding in this e-interview with Lead411:
Who are your competitors and how are you different from them?
At Sangart, we’re developing rescue therapies based on a unique MP4 delivery platform to help patients suffering from a crisis related to ischemia (oxygen deprivation of tissues). Our therapies help people who have suffered a traumatic injury or are experiencing a sickle cell crisis.
When a patient is in crisis, there is a series of events that disrupt the circulation process, thus making it difficult for oxygen to reach tissues. When tissues don’t get enough oxygen, cellular death and critical organ failure occurs. The MP4 molecule is able to bind to a therapeutic gas, such as oxygen or carbon monoxide, and release it specifically to its target tissue at the right time, enabling oxygen to reach hypoxic tissues, and ultimately improving patient outcome. Sangart’s products are based on the MP4 platform, a delivery mechanism that sends key therapeutic gases to deprived tissues.
Our MP4CO rescue therapy represents a novel approach to helping patients with sickle cell disease, an inherited hemoglobin disorder affecting red blood cell circulation in millions of people around the world. Not only can MP4CO help un-sickle red blood cells, it can also help oxygenate hypoxic tissues, improving patient outcomes. Currently, there are no approved medications to treat sickle cell crises, and only symptomatic relief is available. We aim to change that by alleviating the pain, and reducing the duration and severity of a sickle cell crisis
Our MP4OX therapy, now in Phase 2b, helps trauma patients experiencing shock overcome these circulatory disruptions by delivering oxygen to tissues when they need it. Our preclinical and clinical studies show that MP4OX has the potential to improve outcomes in trauma patients by increasing the delivery of oxygen to the body and preventing tissue death and organ failure in a patient experiencing hemorrhagic shock. We have no direct competitors on the market or in development at this time.
Preliminary data have shown that Sangart’s products, MP4OX and MP4CO, have the potential to improve quality of life, reduce complications, shorten hospital stays and lower healthcare system costs.
What percentage of your marketing budget is spent on the following?
a. Advertising –
b. Social Media Marketing –
c. SEO –
d. PR – 20%
e. Direct Marketing –
f. Other – 80%
What marketing tactic has given you the highest ROI? What percentage ROI do you get back on this? How much did you revenue increase (if any) this year over last year?
Sangart products are currently in clinical trial development, so we’re not spending a significant amount on marketing. Making sure our therapies are safe and efficacious takes many years of preclinical and clinical research and significant financial support. Since we started, we’ve raised more than $280 million and we are encouraged by the $50 million in additional equity that we’ve recently received from Leucadia Nation Corporation. We’re working as efficiently as we can to get our MP4 products through the regulatory approval process and on the market so patients with unmet medical conditions, such as hemorrhagic shock and sickle cell disease, get the treatment they need.
What do you plan to spend your new funding on? Product development? Marketing?
Our priority is to ensure we have appropriate funding to further the clinical development for the MP4 oxygen therapeutics platform and to get our MP4OX and MP4CO products to patients who need them. We see promise in our unique MP4 platform and we have taken a thoughtful, strategic approach to raising funds to support our clinical pipeline. This new funding will be used to advance the development of the MP4OX product in severe traumatic hemorrhagic shock and the MP4CO product in sickle cell anemia. As part of our product development strategy, we also plan to build a new commercial manufacturing facility.
If this is your first round of financing and you’re the CEO, how many hours did you put into working on getting your financing? Was that taking up the most of your day?
This is not our first round of funding. It was a Series G round.
If you are the CEO, what are your biggest challenges?
As the CEO, my biggest challenge is delivering on Sangart’s promise to deliver our therapies to patients. This means delivering positive results in our clinical trials so they benefit from our MP4 oxygen therapeutics as soon as possible, focusing on innovation, and balancing our short term objectives with our longer term corporate strategy.
How many employees do you have?
We currently have 95 employees in the US (San Diego), the UK (London), South Africa, Germany and Ireland.
When were you founded?
Sangart was founded in 1998 in San Diego, California by Dr. Robert Winslow, and our key scientist, Dr. Kim Vandegriff.
Want to know more about their recent funding? You can read their press release here.