Excellergy Secures $70M for Novel Allergy Treatment Approach

San Francisco Bay Area biotechnology company Excellergy has raised $70 million in Series A funding to advance its innovative allergy treatment platform. The company is developing a new class of drugs called trifunctional effector cell response inhibitors (ECRIs), which aim to provide faster and more complete control of allergic conditions through a multipronged approach.

A New Paradigm in Allergy Treatment

Excellergy's ECRIs are designed to combat allergic responses in three distinct ways:

1. Neutralizing and removing immunoglobulin E (IgE), an antibody implicated in allergic reactions
2. Dislodging IgE already bound to receptors without triggering an immune response
3. Reducing expression of the immune cell receptor FcεRI

This multifaceted mechanism of action sets ECRIs apart from existing treatments like antihistamines and Xolair, which only target free IgE. Geoff Harris, Excellergy's Chief Scientific Officer, described the approach as "the holy grail of what people are trying to accomplish" in allergy treatment.

Targeting Unmet Needs in Allergy Care

While Excellergy has not specified its initial disease targets, the company plans to initiate a Phase 1 trial next year. Food allergies and chronic urticaria (hives) are among the top candidates for subsequent Phase 2 studies.

CEO Todd Zavodnick emphasized the significant market opportunity, stating, "A lot of patients are being undertreated or not treated in this space, so we believe this market to be massive." The company's focus on these areas aligns with a broader industry trend, as several pharmaceutical giants and smaller biotechs are actively developing treatments for chronic urticaria.

Investment Landscape and Future Prospects

The $70 million Series A round was led by Red Tree Venture Capital, with participation from Samsara BioCapital and Decheng Capital. Heath Lukatch, a managing partner at Red Tree, highlighted the appeal of Excellergy's approach, noting that it leverages "well-understood IgE biology in a novel way."

This investment is part of a larger trend in the pharmaceutical industry, with immunology attracting significant funding. According to BioPharma Dive, venture capital firms have invested over $1 billion in private immunology companies this year alone, surpassing all other therapeutic areas.

As Excellergy moves forward with its clinical development program, the company's progress will be closely watched by both the scientific community and potential competitors in the allergy treatment space.