Lexeo Therapeutics secures $40 million investment for cardiac genetic disease therapies.

Lexeo Therapeutics has partnered with leading life-sciences investors to develop therapies for genetic cardiac diseases using a novel non-viral RNA platform. The partnership will receive up to $40 million in private equity financing and leverage Lexeo's expertise in cardiac genetic medicines, preclinical intellectual property, and technology. This marks a significant pipeline diversification and advancement in leading-edge cardiovascular science.

Lexeo Therapeutics, Inc. (Nasdaq: LXEO), a clinical-stage genetic medicine company, has announced a strategic partnership with leading life-sciences investors to develop therapies for genetic cardiac diseases using a novel non-viral RNA platform. The partnership, which includes up to $40 million in private equity financing from Perceptive Xontogeny Venture Funds (PXV Funds) and venBio Partners, aims to advance leading-edge cardiovascular science and diversify Lexeo's pipeline [1].

Under the terms of the agreement, the new entity will focus on advancing research for novel RNA-based therapeutics via non-viral delivery for the treatment of genetically mediated cardiac conditions. Lexeo will contribute its expertise in developing cardiac genetic medicines, certain existing preclinical intellectual property, and technology, which will be combined with a novel non-viral delivery platform [1].

The partnership reflects an innovative approach to realizing the therapeutic and economic value of promising preclinical science. "Delivery of DNA by adeno-associated virus has defined the first wave of genetic medicine, with potential to treat cardiovascular diseases that other modalities cannot address today. Over the next decade, however, new modalities will emerge allowing genetic medicines to treat an even broader range of cardiac diseases, and RNA therapeutics mediated by non-viral delivery are representative of this future," said R. Nolan Townsend, Chief Executive Officer of Lexeo Therapeutics [1].

The genetic and precision cardiology market is estimated to be worth over $13 billion this year, and it is expected to grow to almost $40 billion by 2033 [1]. This collaboration brings together the right expertise, science, and strategic areas of focus to pursue and advance these treatments, according to Fred Callori, PXV Funds Managing Director, and Corey Goodman, venBio Managing Partner [1].

The funding of the new entity is non-dilutive to existing Lexeo shareholders, and Lexeo has received a double-digit percentage equity position in the new entity. Additionally, Lexeo will be entitled to future milestone payments, royalties, and opt-in rights to certain programs [1].

References:
[1] https://www.marketscreener.com/quote/stock/LEXEO-THERAPEUTICS-INC-161365159/news/Lexeo-Therapeutics-Perceptive-Xontogeny-Venture-Funds-and-venBio-Partners-Announce-Partnership-to-A-50319196/