Velocity, Remeditex partner to evaluate assets

Velocity Pharmaceutical Development LLC (South San Francisco, Calif.) and life science VC firm Remeditex Ventures partnered to jointly evaluate late-stage preclinical and clinical-stage assets from pharma, biotech and academia. Velocity Pharmaceutical Holdings LLC (South San Francisco, Calif.) -- a holding company funded by CMEA Capital -- and Remeditex will co-invest to help advance assets through Phase II proof of concept, after which programs will be out-licensed. Both Velocity and Remeditex can present opportunities for investment, and each partner can decide which projects to fund. If Velocity Pharmaceutical Holdings invests, each asset or project will be housed in a virtual company managed by Velocity Pharmaceutical Development. The total amount the firms plan to co-invest is "open-ended."

Velocity Pharmaceutical Holdings and Remeditex also announced their first co-investment on Monday. Remeditex invested an undisclosed amount in Tigercat Pharma Inc. (South San Francisco, Calif.), which Velocity created to develop VPD-737 (serlopitant) for chronic pruritus. Tigercat plans to start Phase II testing in September. The virtual company is managed by Velocity Pharmaceutical Development and has exclusive, worldwide rights to the neurokinin-1 (NK-1; Substance P) receptor antagonist from Merck & Co Inc. (NYSE:MRK) under a 2012 deal. ...