German Biotechnology Firm Leukocare, which has operations in Milford, Connecticut, has announced the closing of a $17.5 million financing round from New York investment firm Petrichor Healthcare Capital Management. The investment consists of a convertible loan worth $15 million and a $2.5 million equity stake in Leukocare. In a press release, the company said that the funds will be used to further expand its operations in the U.S.
The investment is huge and will be instrumental in bolstering its bioinformatics unit and supporting mRNA formulation and viral vector and vaccine development efforts. Its operations in the country are located within its long-time partner Rentschler Biopharma SE’s headquarters.Biotechnology Firm Leukocare started its U.S. operations in January 2021, intending to strengthen its biostatics and artificial intelligence units to support its U.S.-based clients and create fresh opportunities and partnerships. The firm mentioned that its new on-the-ground presence will be focused on drug product formulation development, particularly for advanced therapy medicinal products. It could reach out to other related endeavors as well.
Simultaneous with the financing round, Leukocare declared the installation of Petrichor founder and managing partner Tadd Wessel to its supervisory board. Wessel brings over two decades of healthcare finance experience to the company. Before founding Petrichor, he was the managing director at New York-based investment firm OrbiMed Advisors, where he was credited for building the company’s healthcare special situations and structure finance unit.