Desentum is developing novel allergen immunotherapy designed to make treatment faster, more effective, and safer. Finnish private investors and family offices invested €8 million in an exceptionally rapid share issue.
The offering was organized by a Finnish growth equity investment company Springvest, which is also one of Desentum’s major shareholders. This was the fifth time they organized a funding round for Desentum.
Existing shareholders were granted a 24-hour subscription privilege for €3 million of the total offering. This allocation was filled within just a few minutes.
The public offering, which opened the following day, raised €5 million in about 10 minutes.
“I wish to thank all the investors. There is a great unmet need for new, effective allergy treatments, and the funding will help us progress towards the next stages in our research and development,” says Pekka Mattila, CEO of Desentum.
“Desentum’s round was record-fast, and it was fantastic to see the tremendous interest among our investor clients,” says Aki Soudunsaari, CEO of Springvest.
“Hundreds of investors were left in the queue. We are currently exploring whether we could offer them an additional investment opportunity later this spring,” he adds.
Indication of efficacy for the birch pollen allergy vaccine – new results expected this year
Desentum aims to shorten allergen immunotherapy from years to just a few months.
Traditional immunotherapy relies on natural allergen extracts, whose efficacy can be difficult to predict. The dose level must be increased gradually, and the risk of allergic reactions can be significant.
To overcome this, Desentum investigates how allergens bind to IgE antibodies and trigger allergic reactions. Based on this knowledge, the company modifies allergens into hypoallergens that will induce a protective immune response while causing fewer allergy symptoms.
“Instead of a single vaccine, we are developing a technology platform for treating various allergies,” says Pekka Mattila.
Desentum’s current research focuses on birch, peanut, and cat allergies. The investigational product for birch pollen allergy is already in clinical Phase II, involving nearly 100 patients. The results are expected in November.
Mattila notes that the clinical results so far have been very promising in terms of both safety and immunological effect. For example, patients’ IgG4 antibody levels have been observed to increase 80-fold during a 10-week treatment period.
“The primary goal of the ongoing study is to demonstrate statistically significant clinical efficacy on allergy symptoms.”
A potential alternative to total peanut avoidance
Peanut allergy is among the most dangerous allergies: as little as opening a bag of peanuts can lead to life-threatening anaphylaxis. Currently, there is no curative treatment, and patients must strictly avoid peanuts and carry an adrenaline auto-injector.
Only one product, Palforzia, has received marketing authorization for immunotherapeutic treatment of peanut allergy, but its manufacturer has announced plans to withdraw it from the market this year.
Desentum has studied peanut allergens for years. In February, the research group of Desentum and the University of Eastern Finland published a peer-reviewed study in the international journal Allergy about the binding of peanut allergen to the antibody that triggers allergic reactions.
A hypoallergen candidate developed based on this discovery has undergone laboratory testing, and Desentum is now preparing to move it toward clinical trials.