Emulate Inc. Secures $82M Series E Funding for Organ-on-a-Chip Expansion
Emulate Inc. Secures $82 Million in Series E Funding for Organ-on-a-Chip Development
Emulate Inc., a biotechnology firm specializing in organ-on-a-chip technology, announced the completion of an $82 million Series E funding round on Tuesday.
This substantial investment will be directed towards accelerating the development of a comprehensive “roadmap” for creating model organ systems. These systems are designed to specifically address the requirements of pharmaceutical companies and facilitate wider adoption of organ-on-a-chip technology within laboratory settings.
Understanding Organ-on-a-Chip Technology
An organ-on-a-chip is, fundamentally, a miniaturized replica of a human organ – or interconnected organ systems.
These devices, typically about the size of a standard AA battery, incorporate chambers where living human cells, such as those from the brain, kidney, lungs, or intestines, can be cultivated.
The chip’s design allows for the simulation of vital biological functions, including respiration and blood circulation, as well as the mechanical stresses experienced within the human body.
Transforming Drug Discovery
The primary goal of this technology is to accurately replicate the conditions present within a living human body.
This capability aims to enhance the ability of drug manufacturers to predict the effects of new drug candidates, representing a significant advancement in pre-clinical research methodologies.
Currently, traditional cell- and animal-based models dominate this research area, but Emulate and its competitors are striving to establish a new standard.
Emulate’s Growth and Partnerships
Founded in 2013, Emulate has accumulated approximately $225 million in funding to date.
This latest Series E round, spearheaded by Northpond Ventures and Perceptive Advisors, will fuel increased investment in research and development (R&D).
The company intends to focus on creating specialized organ-on-a-chip applications based on insights gained from collaborations with leading pharmaceutical companies.
Currently, Emulate serves 21 major pharmaceutical clients, including Roche, Genentech, Johnson & Johnson, and Gilead Sciences.
Strategic Roadmap Aligned with Pharma Needs
“We analyzed the R&D spending patterns of pharmaceutical companies – specifically focusing on molecule types and biologics – and then developed a roadmap,” explains Jim Corbett, CEO of Emulate, in an interview with TechCrunch.
“This roadmap outlines a series of applications directly aligned with the areas where major pharmaceutical firms are investing their resources.”
New Products and Services
In January, Emulate unveiled several new products and services as part of this strategic roadmap.
These include the Emulate brain chip, designed to support research into central nervous system disorders like Alzheimer’s disease.
Additionally, they introduced an immune cell recruitment application to study immune system interactions within the lungs, liver, and intestines, utilizing lung-, liver-, and intestine-chips.
A microbiome model integrated into the liver chip was also announced.
Future Rollout Plans
Corbett anticipates the release of 14 new applications over the next two years, with seven scheduled for launch in the coming year.
The Evolution of Organ-on-a-Chip Technology
Organ-on-a-chip technology has been under development for approximately a decade.
The National Institutes of Health (NIH) has even deployed these chips into space to investigate the effects of spaceflight, and has been actively developing tissue chip testing and validation programs since 2010.
Market Potential and Growth
A 2020 review published in Bioengineering estimated the organ-on-a-chip industry’s value at around $21 million.
However, projections indicate significant growth, potentially reaching $220 million by 2025.
Impact on Drug Testing
Much of this growth hinges on the potential of organ-on-a-chip technology to revolutionize the preclinical phase of drug testing.
This, in turn, depends heavily on the Food and Drug Administration’s (FDA) acceptance of data generated using these platforms.
FDA Receptiveness and Collaboration
While the organ-on-a-chip technology itself doesn’t require FDA approval as it is not a therapeutic or medical device, pharmaceutical companies will likely seek assurance that the agency will consider data obtained from these systems.
Corbett reports that the FDA has demonstrated a “very receptive” attitude towards data collected on these platforms.
Emulate has a history of collaboration with the FDA, exemplified by a Cooperative Research and Development Agreement (CRADA) established in 2020.
This CRADA allowed Emulate to provide funding and equipment for research conducted at an FDA laboratory, with the potential to license intellectual property developed during the project.
COVID-19 Research and Beyond
Through this program, Emulate’s lung chips were utilized in COVID-19 research, and the brain, liver, and intestine chips were employed in separate research initiatives.
Regulatory Support
Furthermore, legislative efforts like the FDA Modernization Act of 2021, introduced in Congress in April, could further benefit companies developing organ-on-a-chip technologies.
This bill proposes allowing the FDA to utilize “alternative testing methods to animal testing” when evaluating the safety and efficacy of drugs, explicitly including organs on chips within the definition of non-clinical tests.
“If the Modernization Act is passed, it will provide clear regulatory guidance,” Corbett stated.
Looking Ahead
Despite its promise, the field of organ-on-a-chip research remains relatively nascent.
Whether it will ultimately lead to the development of more successful drug candidates remains to be seen.
However, with a new round of funding and a shifting regulatory landscape, definitive answers may be forthcoming in the near future.