Alto Neuroscience bags $25M for four Phase II drugs (Endpoints News):
Another $25 million is flowing the way of a California biotech attempting to fix the “trial and error” system in neuroscience drug R&D.
Alto Neuroscience picked up the capital from Alpha Wave Ventures via an extension to its Series B, bringing total equity raised to $100 million since the startup’s 2019 founding.
… The approximately 50-employee startup hopes to move past the “trial and error” approach of neuroscience drug development, perhaps most recognizable by the lengths patients have to go through to find the depression meds that actually work for them.
To do so, Alto is pairing a trove of data on EEG activity, genetics, behavioral task measurements and other factors to see which of its drugs fits best with patients who have depression, post-traumatic stress disorder and other mental health conditions. The company’s artificial intelligence platform homes in on three buckets: cognition, emotion and sleep.
Earlier this month, the biotech touted open-label Phase IIa results for its lead depression asset, ALTO-100, which were statistically significant as both a single therapy and adjunctive.
Alto Neuroscience Inc. today announced a $25 million equity investment by new investor, Alpha Wave Ventures. This brings Alto’s total Series B funding to approximately $60 million and total equity capital raised to approximately $100 million since the company was founded in 2019. In addition, Alto recently entered into a credit facility with K2 HealthVentures for up to $35 million, allowing access to additional capital and flexibility as the company advances its clinical-stage pipeline…
Chris Dimitropoulos, of Alpha Wave Global, stated, “This financing is a testament to our confidence in Alto’s science, platform, team, and ability to execute. We are encouraged by their unique approach backed by over a decade of human data exploring brain mechanisms and patient heterogeneity. The recent positive clinical results in depression provide confidence that a precision approach in this field is achievable and likely to drive better outcomes for patients.”