Unnatural Products aims to combat chronic diseases by targeting key intracellular protein interactions with macrocyclic peptide therapeutics.
Fresh from inking a potential $1.7 billion research collaboration with Novartis, US biotech Unnatural Products has raised $45 million in a Series B financing aimed at advancing its efforts to develop macrocyclic peptide therapeutics for previously “undruggable” targets. The Santa Cruz, CA–based company is building a pipeline of therapies targeting cardiometabolic, inflammatory and immunological diseases, where many biological pathways remain difficult to address using conventional drug approaches.
Many chronic and age-related diseases – including cardiovascular conditions, metabolic disorders, fibrosis and neurodegenerative diseases – are driven by protein interactions inside cells, where both small molecules and antibody-based drugs often face limitations. Macrocyclic peptides occupy a middle ground between small molecules and biologic medicines. Their structure enables the strong, selective binding typically associated with biologic drugs while maintaining chemical properties that can enable cell permeability and, in some cases, oral delivery.
The company has developed an integrated discovery platform that combines computational design tools, automated chemistry and high-throughput biological testing to create and refine synthetic macrocyclic peptides. The system is intended to move rapidly from initial discovery hits to optimized drug candidates that benefit from the best features of biologics while offering drug-like properties more typical of small molecules.
“Macrocyclic peptides represent a powerful new therapeutic modality,” said UNP CEO Cameron Pye. “Our platform unlocks the precision of biologics with the delivery advantages of small molecules, enabling us to target complex intracellular pathways that have historically been out of reach. We can also provide oral solutions to targets only currently addressable with costly injectables.”
The new funding is expected to support further development of UNP’s platform and help advance multiple lead programs toward clinical development.
“The capital is designed to advance our lead programs through IND-enabling studies and position the company to enter the clinic, while also progressing several additional programs emerging from our platform,” Pye told us. “We’re seeing encouraging progress across these programs as our platform enables highly selective binding to complex intracellular targets that historically have been considered undruggable. Because our technology enables rapid discovery and optimization of macrocyclic peptides, we’re able to build a broader pipeline than is typically possible at this stage.”
UNP’s partnership with Novartis, announced last month, is focused on developing macrocyclic peptide therapies for cardiovascular targets that have historically resisted traditional drug development strategies. The deal includes up to $100 million in upfront and pre-IND milestone payments and as much as $1.7 billion in development, regulatory and commercial milestones. The company has also formed collaborations with several pharmaceutical and biotechnology companies including Novartis, Merck, BridgeBio and argenx.
The Series B round was led by The Venture Collective (TVC), with participation from Merck Global Health Innovation Fund, Artis Ventures, First Spark Ventures, Droia Ventures and argenx. “Unnatural Products has developed a differentiated platform capable of unlocking new therapeutic opportunities across challenging disease targets,” said TVC’s Nicholas Shekerdemian.
In 2023, Unnatural Products raised a $32 million Series A round led by Merck Global Health Innovation Fund and Artis Ventures.
