PROVIDENCE – Cambridge, Mass.-headquartered biotechnology firm Rubius Therapeutics Inc. has secured a $75 million loan from Solar Capital Partners to advance its Red Cell Therapeutics line using modified red blood cells to treat enzyme deficiencies, cancer and autoimmune diseases.
The loan and security agreement with Solar Capital Partners and its affiliates will be funded in three tranches of $25 million each. The first funding tranche occurred Dec. 21, coinciding with Rubius’s announcement of the loan. The remaining two tranches will be funded at Rubius’s discretion, the company announced.
The funding will allow Rubius to continue development of red blood cells into medicines that can replace enzymes in people with rare diseases and control immune responses to treat cancer and autoimmune diseases, according to the company.
In June, Rubius began renovation on its property in Smithfield, previously an Alexion Pharmaceuticals Inc. facility – which is expected to be in operation by the end of 2020. The company has yet to have a product hit the market and therefore has no revenue.
The loan will keep research and corporate operations running through Dec. 21, 2021, the company reported.
“This flexible, non-dilutive financing strengthens our financial position and supports our key therapeutic programs advancing toward clinical trials,” said Dr. Pablo J. Cagnoni, CEO of Rubius Therapeutics. “We look forward to partnering with Solar Capital Partners, a leader in the life sciences lending business.”
“We are excited to partner with the Rubius team as they develop this potentially disruptive new therapeutic platform,” said Anthony Storino, head of the life science lending business at Solar Capital Partners.
Rob Borkowski is a PBN staff writer. He can be reached at Borkowski@PBN.com.
