Diabetes-focused biotech Rhythm closes $40M Series A round
Rhythm Pharmaceuticals Inc., a startup focused on obesity and diabetes treatments, had closed a $40 million Series A financing, funded by MPM Capital and Third Rock Ventures, both of Boston, as well as New Enterprise Associates of Maryland.
The Boston-based company had raised $21 million of the Series A round in March, which was led by MPM and NEA. As part of the completion of the financing, Third Rock partner Lou Tartaglia has joined the Rhythm board of directors.
The funding is expected to support the clinical studies of Rhythm’s peptide-based drug candidates, which include RM-131 to treat gastrointestinal functional disorders and RM-493 to treat obesity and diabetes.
Rhythm has licensed from French pharmaceutical Ipsen SA the development rights to peptide hormones ghrelin and MSH, which can control food intake and gastrointestinal function.
Currently located in MPM’s Boston office, Rhythm was founded out of MPM by chief development officer and MPM managing director Elizabeth Stoner. The company counts as its president Bart Henderson, formerly an entrepreneur-in-residence at MPM and former chief business officer at Radius Health Inc.