Inception Sciences, Inc.

Contineum Therapeutics has raised $110 million in an initial public offering, the biotechnology industrys 10th of the year, to advance a group of drugs its developing for neurological and inflammatory diseases.The biotech startup on Thursday sold 6.875 million shares at $16 apiece, the low end of a range it set earlier this week.. Itll begin trading on the Nasdaq stock exchange on Friday under the symbol CTNM.Contineums offering keeps biotech IPOs on their strongest pace in three years, according to BioPharma Dive data. By this time last year, only four drug startups had gone public, raising $375 million. In 2022, nine companies had pulled in $744 million.The IPO activity has been accompanied by a step-up in funding for both public and private biotech companies. Earlier this week, analysts at the investment bank Jefferies wrote that public biotechs raised about $11 billion in stock offerings between January and March, the most in more than three years. William Blair analysts, in a separate report, found that biotech startups raised $5.1 billion in the first quarter, a 28% increase from 2023. That included a resurgence in financings of at least $100 million, with 21 of 60 rounds hitting that mark, they wrote.The trends suggest a possible reversal from the sectors downturn and the potential advent of an up cycle driven by anticipated rate cuts, continued M&A, and strong fundamentals, Jefferies analysts wrote.Still, the pace of IPOs remains short of a peak a few years ago. Wall Street investors have also mostly rewarded biotechs with drugs in clinical testing, particularly those in the later stages of development. Since the start of 2023, companies with drugs in Phase 2 testing at the time of their IPO have raised a median of $129 million, versus $80 million for those in Phase 1 and $52 million for preclinical companies, data show.With a $110 million IPO haul, Contineum fits that pattern. The company has two drugs in testing. One, partnered with Johnson & Johnson, is in a mid-stage trial in relapsing remitting multiple sclerosis and an earlier trial in depression. Another wholly owned drug is in a Phase 1 trial for idiopathic pulmonary fibrosis.The J&J-partnered drug inhibits a receptor known as M1R thats involved in multiple cognitive processes. Contineum claims in its IPO filing that the candidate is the most advanced drug of its kind in clinical development. The biotechs other drug blocks a receptor called LPA1R, an increasingly popular target for idiopathic pulmonary fibrosis. Bristol Myers Squibb and Structure Therapeutics are working on similar medicines, but Contineum claims preclinical data show its drug may be differentiated.Contineum was previously known as Pipeline Therapeutics and traces its roots back to Inception Sciences, an initiative biotech investor Versant Ventures started to turn academic research into new companies. The team behind an Inception startup later acquired by Roche, Inception 5, joined with Versant and others to launch whats now Contineum.Versant owns 32% of the company, according to the IPO filing. '

Johnson & Johnson is a partner on Contineum Therapeutics’ most advanced program, which is currently in mid-stage clinical testing for multiple sclerosis. As that research continues and Contineum plans to advance the development of its wholly owned assets, the biotech is moving forward with plans for an IPO. Contineum, which traces its origins to a startup creation engine of venture capital firm Versant Ventures, filed its IPO paperwork with the Securities and Exchange Commission late Friday. The company has not yet set any financial terms for its planned stock market debut, but IPO research firm Renaissance Capital said the offering could reach up to $150 million. The San Diego-based biotech has applied for a Nasdaq listing under the stock symbol “CTNM.” Contineum’s most advanced program is PIPE-307, a small molecule designed to selectively block the M1R receptor. This approach has potential applications in the treatment of multiple sclerosis and depression. Contineum has reported Phase 1 results showed the drug candidate was well tolerated across all doses and showed no dose-related effects on cognitive function. Nearly a year ago, J&J licensed global rights to PIPE-307 for all potential indications. However, the deal still permits Contineum to develop this molecule for relapsing and remitting forms of MS by conducting a Phase 2 study. That clinical trial is ongoing. A Phase 1 test of this molecule in depression is also underway as part of the J&J collaboration. The lead wholly owned Contineum asset is PIPE-791, a program currently in Phase 1 testing. This small molecule is designed to block LPA1, a receptor whose activation is associated with the development of organ scarring called fibrosis. The company believes the molecule’s ability to block LPA1 could treat idiopathic pulmonary fibrosis (IPF), a chronic lung disorder with few available treatments. MS is another potential application for PIPE-791. Levels of LPA, a pro-inflammatory protein, are elevated in the blood and cerebrospinal fluid of MS patients, which may contribute to the progression of this disease, Contineum said in the filing. One key feature of this molecule is its ability to penetrate the brain. In preclinical research, the company said blocking the LPA1 receptor reduces neuroinflammation and promotes remyelination, the formation of new myelin sheaths on axons that have lost this protective layer. Contineum plans to submit an application this year seeking permission in the U.K. for an open-label Phase 1b test of PIPE-791 to assess the molecule’s ability to bind to receptors in the lungs and brain as measured by PET imaging. This study will inform dose selection for planned future Phase 2 tests of the molecule in IPF and progressive MS. The pipeline also includes CTX-343, an LPA1 receptor-blocking molecule that does not cross the blood brain barrier. This capability could provide Contineum more options for its drug portfolio, the company said. CTX-343 is currently preclinical. Contineum traces its roots to Inception Sciences, one of the drug discovery engine of Versant Ventures. Inception and Roche had collaborated to discover and develop small molecules that promote remyelination of nerve fibers damaged as MS progresses. After Roche acquired this neuroscience program for an undisclosed sum in 2018, Versant launched Pipeline Therapeutics, a startup led by the same team that worked on the program that Roche acquired. Versant said Pipeline would focus on developing “next-generation neurodegenerative therapies.” In late 2023, Pipeline changed its name to Contineum Therapeutics. Contineum has raised about $194 million in financing, according to the filing. The J&J alliance paid $50 million upfront and could pay out up to $1 billion tied to the achievement of milestones. Versant is Contineum’s largest shareholder with a 32.2% pre-IPO stake; Johnson & Johnson’s stake is 10.1%. The company’s most recent financing was a 2021 Series C round that raised $80 million. As of the end of 2023, Contineum reported a $15.5 million cash position along with $109.6 million in marketable securities. That capital, combined with the IPO proceeds, will go toward continued clinical development of the LPA1 receptor antagonist, including the completion of Phase 1b testing. An unspecified amount of additional cash will go toward planned Phase 2 tests in IPF and progressive MS. Contineum also plans to use the IPO proceeds to complete Phase 2 testing of its J&J-partnered molecule in relapsing and remitting forms of MS. Image: Getty Images

July 6, 2022 11:00 UTC Companies will participate in a customized mentorship program and compete for $250K in Prizes on Oct. 13 in Carlsbad, Calif. LOS ANGELES--(BUSINESS WIRE)-- BioTools Innovator, the first accelerator focused on life science tools and diagnostics to advance cutting-edge research and improve human health, announced that 14 companies have been selected to participate in its annual program. The BioTools Innovator Accelerator is a four-month virtual program providing startups with in-depth, customized mentorship and support from senior industry leaders, funding opportunities, and continual engagement with peers and advisors. As part of a rigorous selection process, together with the senior leadership teams of its corporate partners at Research Corporation Technologies, Broad Oak Capital Partners, Nissan Chemical America Corporation, and over 30 industry judges from leading life science firms, BioTools Innovator evaluated the pitches of 26 candidates out of more than 160 applicants from 23 countries and 28 U.S. states. Fourteen companies were then selected to participate in the BioTools Innovator Accelerator, which prominently features best-in-class life science startups from around the world. Reviewers and experts that participated in BioTools Innovator Accelerator pitch events included representatives from Agilent, Alira Health, Biomedical Advanced Research and Development Authority (BARDA), Danaher, Draper, Eppendorf, General Inception, Hackensack Meridian Health, Illumina Ventures, InDevR, Johnson & Johnson Innovation, MilliporeSigma, Mira Life Science Ventures, Northpond Ventures, Thermo Fisher Scientific, Tosoh USA, Teknova, VC23 among others. “We launched BioTools Innovator to fill a gap in the life science industry where promising technologies falter due to lack of sophisticated guidance that prevents entrepreneurs from making avoidable mistakes,” said Kathryn Zavala, managing director of BioTools Innovator. “These 14 companies represent the next frontier of innovative technologies that will help us develop solutions to diagnose and treat diseases more effectively and live healthier. We are thrilled to welcome them to the cohort.” The 14 companies are: Ananda Devices (Laval, Quebec, Canada) - Scalable neurons-on-a-chip platform to analyze over 3,000 neurons in 30 minutes using standard workflow Atom Bioworks (Cary, N.C.) - AI software programmed DNA scaffold that displays multiple ligands for multivalent binding to viruses and cancer cells Cellbox Solutions (Hamburg/Norderstedt, Germany) - Intelligent, active CO2 incubator for transporting living cells and cell therapy materials under ideal conditions CellChorus (Houston & San Carlos, Calif.) - Dynamic single-cell analysis that applies AI to conduct thousand 1000s of microscopy experiments in parallel Dalton Bioanalytics (Los Angeles, Calif.) - Dalton is building a next generation blood analysis using their advanced mass spectrometry platform Omni-MS® to digitize the biochemical composition of plasma and other tissues—quantifying thousands of molecules including proteins, lipids, and metabolites in a single shot assay. DropGenie (Montreal, Canada and Boston) - High throughput low volume discovery platform that enables genome wide arrayed CRISPR screens in immune cells Ferrologix (Carlsbad, Calif.) - Rapid, high-purity, efficient cell separations with FACS precision and MACS simplicity on a scalable disposable cartridge GenNext Technologies (Half Moon Bay, Calif.) - Solving biopharmaceutical structural problems using proprietary benchtop Hydroxyl Radical Protein Footprinting (HRPF) analysis Kolibri (Paris, France) - Unlocking patient access to high-value cell and gene therapy biomanufacturing using acoustic waves Opera Bioscience (Evanston, Ill.)- Scalable platform for efficiently manufacturing growth factors, reagents and other protein products RealSeq Biosciences (Santa Cruz, Calif.) - Highly accurate small RNA detection technology allowing for real-time profiling of disease markers dramatically improving diagnosis and treatment. Sequegenics (Atlanta, Ga.) - Cloud platform to launch genome-wide variant calling analysis using long-read NGS data xMDDiagnostics (Baltimore, Md.) - Molecular diagnostics tool company whose technology isolates, and enriches tumor cells from biopsies, thus improving PCR, sequencing & NGS molecular testing and patient outcomes Zymvol Biomodeling (Barcelona, Spain) - Multiscale computational protocol for screening enzyme variants Five of the companies will be selected to compete in the final competition taking place during the BioTools Innovator Capstone Event on October 13, 2022 immediately following the conclusion of the Cell & Gene Meeting on the Mesa at the Park Hyatt Aviara Resort in Carlsbad, Calif . The event will bring together senior executives, investors, and top industry decision-makers who will determine the winner of the $250,000 non-dilutive grand prize and the title of 2022 BioTools Innovator. Funding for BioTools Innovator is provided by the Frederick Gardner Cottrell Foundation of RCT. Additional support is provided by BroadOak Capital Partners and Nissan Chemical America Corporation. About BioTools Innovator Based in Los Angeles, Calif., BioTools Innovator was established to advance cutting-edge research and improve human health by accelerating the growth of a broad spectrum of life science tools and diagnostics. BioTools Innovator matches industry leaders with innovative early stage and emerging growth biotechnology-focused companies for mentorship and support. BioTools Innovator is powered by MedTech Innovator, the largest accelerator of medical device companies in the world and the premier nonprofit startup accelerator in the medical technology industry.[i] To date, MedTech Innovator has supported 421 alumni that have gone on to raise $4.6 billion in follow-on funding, brought 130 products to market, and achieved 29 exits. For more information about BioTools Innovator, visit and follow @BTInnovator on Twitter and on LinkedIn. [i] Gibbs, M., Johnson, B., Silva, B. A., & Berube, K. (2020, July 10). Q2 2020 Life Science Accelerators Insights Cipher Bio. Retrieved September 15, 2020, from