Scholar Rock's niche

A $20 million series A financing will boost Scholar Rock Inc.'s discovery and development program for niche modulators, a class of compounds targeting growth factors in cell and tissue microenvironments. Arch Venture Partners, a new investor, led last week's round, joined by founding investors Polaris Partners and Timothy Springer, and new investors EcoR1 Capital and The Kraft Group.

Arch invested from its $410 million eighth fund, whose mission is to find transformative ideas with large market potential. Investments in Arch's previous funds that fit this profile include cancer company Agios Pharmaceuticals Inc. (NASDAQ:AGIO), immunotherapy company Juno Therapeutics Inc. and autoimmune play Receptos Inc. (NASDAQ:RCPT)...