AeroRx Therapeutics, a clinical-stage biopharmaceutical company focused on innovative nebulized therapies for chronic respiratory diseases, announced the completion of a $21 million Series A financing led by Avalon BioVentures, with participation from Correlation Ventures, Alexandria Venture Investments, and other investors.
The funding will accelerate the late-stage clinical development of AERO-007, the first nebulized long-acting beta-agonist/long-acting muscarinic antagonist (LABA/LAMA) combination in development as a potential first-line maintenance therapy for chronic obstructive pulmonary disease (COPD).
The proceeds from this round will enable AeroRx to initiate a Phase 2b dose-optimization study and prepare for NDA-enabling development. The company’s clinical progress is backed by positive Phase 2a results, which demonstrated AERO-007’s ability to provide rapid-onset, clinically meaningful, and sustained bronchodilation for 24 hours at both low and high doses. The therapy was well tolerated, with safety and systemic exposure comparable to other approved LABA and LAMA drugs.
AERO-007’s development addresses a significant unmet need in COPD treatment. While dual bronchodilation via handheld inhalers remains the current standard of care, many patients struggle with inhaler coordination or fail to receive the full therapeutic dose.
AeroRx aims to overcome these challenges through nebulized delivery—a method requiring no special inhalation technique and designed for consistent dosing.
The company’s Phase 2a trial, a randomized, double-blind, placebo-controlled, single-dose crossover study in 16 adults with moderate-to-severe COPD, showed statistically significant improvements in forced expiratory volume in one second (FEV1) compared to placebo. These results suggest AERO-007’s potential to deliver once-daily, long-lasting efficacy suitable for widespread use among patients with severe disease.
AeroRx’s technology combines the long-acting bronchodilators indacaterol (LABA) and glycopyrrolate (LAMA) into a proprietary formulation for delivery via a standard jet nebulizer. The company estimates that as many as 50% of COPD patients remain symptomatic despite existing treatments, with up to 75% not achieving full therapeutic benefit due to inhaler-related limitations.
By utilizing nebulization, AeroRx aims to enhance adherence and deliver more reliable results for millions of patients, particularly older adults and those with advanced disease.
The company’s pipeline also includes AERO-111, a potential first-in-class nebulized LABA/LAMA/ICS triple therapy, designed for patients who need escalation beyond dual bronchodilation. Headquartered in La Jolla, California, and operating from the Avalon BioVentures Accelerator, AeroRx brings together a leadership team with decades of expertise in aerosol delivery, clinical development, and regulatory strategy.
KEY QUOTES:
“With this Series A financing, we are well positioned to advance AERO-007 into a Phase 2b dose-optimization study and prepare for late-stage, NDA-enabling development. Our Phase 2a study data further support AERO-007’s potential as a once-daily nebulized LABA/LAMA combination, designed to address a major unmet need for underserved COPD patients.”
— Ahmet Tutuncu, M.D., Ph.D., Co-founder and CEO, AeroRx Therapeutics
“Dual bronchodilation via handheld inhalers is the standard of care, but millions of patients remain poorly controlled due to difficulties with inhaler technique. AeroRx has the opportunity to deliver meaningful clinical benefit by bringing the preferred guideline therapy to patients in a nebulized form that is designed for full dosing and improved adherence.”
— Jay Lichter, Ph.D., Managing Partner, Avalon BioVentures
