Palms-based nano robot company Bionaut Labs Inc. has closed a $43.2 million series B round of financing, led by Menlo Park-based Khosla Ventures, bringing the total amount raised to $63.2 million.
Bionaut Labs, which was founded in 2017 by Israeli expats, is developing nano robots that can be injected into human tissue and, through the use of remote video guidance and magnetic propulsion, travel to specific points within the body to deliver drugs to treat cancers as well as brain and central nervous system diseases and disorders.
The goal is to treat diseases in locations that have been difficult to reach with more traditional drug-delivery methods that travel through the bloodstream. This avoids side effects and toxicity from chemotherapy and other drug therapies.
The first target is the mid-brain area, beyond the blood-brain barrier. This is the site of a range of diseases and disorders, including malignant gliomas, Parkinson’s and Huntington’s diseases and hydrocephalus.
“There has been a dearth of innovation around treatments for conditions that cause tremendous suffering, in large part because past failures have discouraged even the best of researchers,” Michael Shpigelmacher, Bionaut Labs’ co-founder and chief executive, said in the funding announcement, which was released on Nov. 28. “Bionaut Labs remains committed to finding new ways to treat these devastating diseases, which are long overdue for a breakthrough.”
Shpigelmacher and another Bionaut Labs’ co-founder, Aviad Maizels, met when both were serving in the Israeli military. Once their service was completed, they formed PrimeSense, an Israeli 3-D motion sensor company that was acquired by Apple Inc. in 2015 for about $350 million.
With this cash on hand, the pair saw an opportunity to exploit new technology to more precisely target drug therapy delivery. Shortly after the company started, in 2017, the pair was joined by another PrimeSense co-founder, Alexander Shpunt.
The Series B money will be used to advance clinical development of the company’s lead programs against malignant glioma brain tumors and Dandy-Walker Syndrome, a rare pediatric neurological disorder. Funds will also support further development of the treatment platform, allowing future expansion of clinical targets and progression through Bionaut’s two accelerated FDA designations.
“We are extremely excited about the transformative potential Bionaut presents in treating debilitating neurological disorders,” Vinod Khosla, founder of Khosla Ventures, said in the release. “Anatomically precise treatment will make traditionally used methods seem archaic, and Bionaut is at the forefront of this movement.”
Several new and existing investors have joined Khosla Ventures in the funding round. Among the new investors: Toronto-based Sixty Degree Capital, GISEV Family Ventures of Lugano, Switzerland, and Herzliya, Israel-based Deep Insight. Returning investors included Upfront Ventures and Bold Capital Partners, both of Santa Monica.
According to the announcement, Bionaut Labs plans to release clinical studies of its technology platform data next year, with the goal of starting human clinical trials in 2024.
