Setara Biosciences launches with $90 million for rare disease drug
A new biotech company, Setara Biosciences, has launched with $90 million to develop a therapy for Charcot-Marie-Tooth disease and overactive bladder, continuing the work of Actio Biosciences after its acquisition by Jazz Pharmaceuticals.
Setara Biosciences has launched with $90 million in Series A financing to develop treatments for rare diseases. The San Diego-based company was formed after Jazz Pharmaceuticals acquired its predecessor, Actio Biosciences, for $1.3 billion in August.
Setara aims to treat Charcot-Marie-Tooth disease and overactive bladder. Its lead drug, STAR-0871, is slated for a Phase 1b study in severe Charcot-Marie-Tooth disease by the end of this year. The company is also planning a Phase 2 study of the same compound for overactive bladder.
Drug development
Setara's lead drug STAR-0871 inhibits the TRPV4 ion channel protein. The company's scientific approach aims to reduce overactive TRPV4 ion channels to wild-type levels. This target is not new to biotech; Vertex Pharmaceuticals built its cystic fibrosis business around TRPV4-targeting drugs.
Beyond STAR-0871, Setara's discovery programs target other conditions, including rare diseases, epilepsy, and migraines.
Company background
The new company's leadership team is composed of former Actio Biosciences executives. David Goldstein, the former CEO of Actio, leads Setara as its Chief Executive Officer. David Breckenridge, an Actio alumnus, serves as Chief Scientific Officer, and Cayce Denton, also from Actio, is the Chief Financial Officer.
The company has secured minority investment from several firms. The investors are Jazz Pharmaceuticals, Deerfield Management, and Canaan.
Setara's name derives from the Farsi word 'setar', which means star. The company represents a focused continuation of Actio's genetics-driven research. Actio Biosciences had previously focused on epilepsy related to KCNT1 mutations, with a lead program called ABS-1230.
Jason Fuller, a managing partner at one of the investing firms, connected the two companies' fates. "We believe that Actio's acquisition by Jazz validates the genetics-driven approach to drug discovery and development that underpins Setara," Fuller said.
The disease focus
Charcot-Marie-Tooth disease is a slow-progressing genetic disorder that causes nerve damage and muscle weakness. The specific 'type 2C' form of the disease can also involve vocal cord and respiratory issues. Setara is developing a drug called STAR-0871 for a Phase 1b study in severe Charcot-Marie-Tooth disease by the end of the year.
