The Umeåbased startup company Lipum has been granted 2,2 milion euro from EU for the development of a new drug for patients suffering from chronic inflammatory diseases.
The company has its roots in the academic environment at Umeå university and is one of the incubator companies at Umeå Biotech Incubator. Lipum has a biological anti-inflammatory drug candidate developed against Rheumatoid Arthritis (RA) – an autoimmune disease characterized by chronic inflammation of the joints. It often causes disability and lowers the quality of life for millions.
As all new drugs Lipum must go through as long period of clinical studies before the drug may enter the market. To prepare these studies Lipum has now been granted 2,2 million euro from EU Horizion 2020 SME Instrument phase 2.
– All european companies with less than 250 employees and a turnover belove 50 milion euro can apply for a SME Intrument. Only 3-8 percent of the applications are granted, so it a huge recognition for Lipum to receive this funding, says Karl-Erik Johansson, international business developer at Uminova Innovation and SME Instruments adviser.
Estimated launch in 2024
The EU funding will cover 70 percent of the costs within the project. Total cost for complete clinical studies is around 15-20 milion euro.
– If the clinical studies are successful we aim to launch a new biological drug in 2024, says Einar Pontén, CEO of Lipum.
The estimated value in the target market for the drug is 500 milions euro.