Posted on :Friday , 15th May 2015

Serenus Biotherapeutics, Inc., a specialty biopharmaceutical company bridging the divide between the world’s leading pharmaceutical markets and the growing demand for access to innovative therapies in the emerging nations of Africa announced it had secured investment of up to $43 million from Malin Corporation plc, an Ireland-based global life sciences company focused on healthcare.

Under the terms of the agreement, Malin will purchase a 41 percent stake in Serenus for $18 million. Upon the completion of certain agreed upon strategic and operational milestones, Malin will have the right to invest up to an additional $25 million and raise its stake in Serenus to up to 76 percent of the company on a fully diluted basis. Concurrent with Malin’s investment, the board of Serenus will assess opportunities to implement an Irish holding structure and to position Ireland as a hub for future in-licensing and commercialization activities.

Serenus will use the proceeds to fund its operational development, secure commercialization arrangements with key partners for therapeutics, and build out its late-stage clinical development and comprehensive supply chain network across its initial target markets.

“Africans have an appetite for newer technologies to improve health. Serenus intends to fill this need by being the bridge between the continent’s unmet medical needs and the opportunity for global companies to enter a largely untapped and fertile commercial market,” says Dr. Menghis Bairu, founder, CEO and President of Serenus. “This transaction not only provides us with capital to accelerate the realization of our vision for the company, but also with talent and insight from accomplished global biopharmaceutical veterans and access to novel products through their extensive industry relationships to help us build a company with a lasting impact on the health of people in Africa.”

In conjunction with the financing, Serenus named G. Kelly Martin, director of Malin and former CEO of Elan Corporation, Serenus’ chairman of the board. The company also named John Given, Chairman of Malin and former Executive Vice President and General Counsel of Elan Corporation, a member of the Serenus board.

“While the business case for entering the African market is clear, recent health crises have highlighted the need for Africans to access newer medications and health technologies sooner,” says Dr. Bairu. “This is a need Serenus Biotherapeutics intends to address.”

Kelly and Dr. Menghis Bairu, the founder, president and CEO of Serenus, are no strangers. Bairu was Elan’s chief medical officer when Martin was CEO.

Serenus specializes in late-stage drug development, in-licensing and commercializing drugs for African markets that have been approved in the United States, Europe and Japan.

Bairu is a native of the East African country of Eritrea. He created Serenus last year to translate drugs for a growing African middle class that has a bulging list of first-world health problems.