Hepagene Raises $40 million in Series B1 Financing, Led by Loyal Valley Capital

(VCBeat) Apr. 26, 2021 -- Hepagene Therapeutics, Inc. （"Hepagene"） today announced the closing of a $40 million Series B1 funding round, led by Loyal Valley Capital, with participation from Oceanpine Capital the existing investor Apricot Capital. Funds raised in this round will be used primarily for the Phase II study of HPG1860 and for preclinical and clinical advancement of the company's NASH/HBV/Liver Cancer pipelines.

Hepagene is a clinical-stage drug discovery and development company that devotes its effort towards discovering, developing, and delivering innovative medicines that help patients prevail over liver diseases and other life-threatening diseases, especially non-alcoholic steatohepatitis (NASH), chronic Hepatitis B infection (HBV), and Hepatocellular Carcinoma (HCC).

Hepagene is currently preparing for Phase II clinical trials of drugs for NASH, primary biliary cholangitis (PBC) and primary sclerosing cholangitis (PSC), among other indications. And the clinical research of drug combination therapy based on HPG1860.

"Hepagene Therapeutics focuses on the R&D of small molecules for the treatment of liver diseases. The company has a comprehensive and synergistic approach to NASH and HBV pipeline targets, with a clever product conception. It has shown potential to be best-in-class clinically and pre-clinically," says Roy Xie, Partner and Head of Healthcare Investments at Loyal Valley Capital.

Mr. Jing Qiang, the managing partner of Apricot Capital, says, "Hepagene has a comprehensive portfolio for indications in the field of liver diseases, sensible target selection, and efficient execution of preclinical and clinical studies. The company's established pipelines have large unmet clinical needs, and multiple products of Hepagene have the potential to be best-in-class in these indications. We are confident in the future development prospects of the Hepagene team. Apricot Capital is honored to continue to support Hepagene and look forward to accompanying the company to grow into an international pharmaceutical company focusing on liver diseases."

LVC is a thematic, research-driven private equity firm that invests in middle-market companies positioned to benefit from the secular industry transformation in China. With over US$2 billion of AUM, LVC focuses on four segments: New Consumer, Healthcare, Specialty Industrials, and Financial Services.

Founded in 2015, Apricot Capital is an investment firm focused on investing in companies in the early and growth stages of the healthcare industry, including biopharmaceuticals, life sciences, medical devices, medical services, and diagnostics.