Delix Therapeutics Raises $30M In Convertible Note Financing, Will Enhance Drug Development Program

Delix Therapeutics, a neuroscience company developing novel therapeutics for psychiatric and neurological conditions, announced Monday that it has raised over $30 million in a convertible note financing. 

The fundraising round was led by existing investors, but also added new long-term partners according to the press release. Additionally, Delix secured a $10 million strategic credit facility in partnership with Comerica Bank's Technology & Life Sciences practice, a leading venture debt partner to sponsor-backed businesses.

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According to Delix, these funds will enhance the company's ability to grow its drug development program, pipeline and platform of novel neuroplasticity-promoting therapeutics known as psychoplastogens. The company will also use these funds to expand its world-class team and offer the flexibility to undertake additional strategic opportunities in 2022 that support Delix's mission to become a leading neuroscience company. 

"We are fortunate to have built a tremendous investor-syndicate in our $70 million Series A financing round in Q3 2021, while achieving continued growth and operational progress throughout the year,” Delix CEO Mark Rus said. “This latest capital raise represents the strength of investor interest, partnership, and support for Delix's approach to drug development." 

Delix has had an eventful year, having raised around $70 million in a Series A prior this $30 million convertible note financing.

The end goal is to bring the company’s novel therapeutics to human trials, explained the CEO. 

"Delix has developed a wide-ranging library of novel non-hallucinogenic psychoplastogens, backed by a growing body of scientific data and evidence that demonstrate these compounds' potentially disease-modifying effects on a variety of brain disorders," Rus said. "We plan to leverage the funds from our growing investor network, and partnership with Comerica, to accelerate the transformation of our scientific discoveries into FDA-approved take-home medicines for a broad set of patients suffering from mental illness or other neurological diseases." 

Photo by cottonbro at Pexels.