entrinsic bioscience (EBS) announced that it has secured $49 million in non-dilutive growth capital from Jefferies Group LLC's subsidiary, Jefferies Funding LLC (Jefferies). The event follows Series A and B raises, including multiple rounds of investment from Johnson & Johnson INNOVATION | JJDC. Aon Plc's Intellectual Property Solutions also played an important role in helping to secure key Collateral Protection Insurance to support the financing.
"Our platform represents a new modality for creating functional ingredients and active pharmaceutical ingredients (APIs) that are highly efficacious, safe, and cost effective," said EBS CEO Stephen Gatto. EBS is pioneering an innovative approach to protein and ion channel modulation that originated from a $40 million NASA|BARDA grant. "This financing greatly accelerates the numerous commercialization efforts already underway with leading OTC, CPG, and therapeutic companies."
Jefferies acted as sole lender to EBS. Aon Plc, using its proprietary intellectual property (IP) valuation platform to value EBS' IP portfolio, arranged for an IP Collateral Insurance policy for Jefferies, collateralized by EBS' IP portfolio. Insurers involved include Allianz, Aspen, and Markel.
CFO Mario Wanderley summarized the transaction: "We are very proud to have a firm of Jefferies' caliber backing us. Our insurance policy-backed deal was made possible by the significant value and broad applications of our intellectual property portfolio, which was subject to great scrutiny and due diligence by our financing partners who concluded that the facility amount represents a fraction of the value of our IP."
Immediate applications include programs for GI, Airway Diseases and Skin. "Our platform has proven to translate from discovery through demonstrated human efficacy, and fundamentally disrupts the perceived limits of functional ingredients and API innovation to protect, maintain, and restore health and wellness. It is a blueprint for serial innovation," commented Gatto.
"Through our innovative valuation platform and Collateral Protection Insurance, Aon is helping to provide innovative growth companies, like EBS, with a path to non-dilutive growth capital that preserves the ownership and value for their founders and early investors," said Lewis Lee, CEO, Aon's IP solutions. "It was a pleasure to assist the teams at EBS and Jefferies in connection with their insurance-backed financing, which unlocks the value in EBS' IP."
About entrinsic bioscience
entrinsic bioscience (EBS) combines its proprietary IP platform and discovery engine to deliver next generation functional ingredients and Active Pharmaceutical Ingredients (APIs) designed to address multiple consumer health conditions and serious disease states.
EBS was the first to discover that precise, patented combinations of small molecule amino acids can modulate targeted Epithelial Transmembrane Proteins (ETPs) via cell signaling. Through proprietary biomapping and electrophysiology techniques, EBS' platform harnesses the body's natural signaling mechanisms to protect, maintain, and restore health and wellness across a range of GI, respiratory, and skin conditions. Recent partnerships include leading OTC consumer health companies, the world's largest CPG company, and a category leading global functional beverage company. EBS' first commercialized product, enterade Advanced Oncology formula, is an oncology suppo...
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