Valo Therapeutics Raises EUR 19M for Cancer Trials in Europe and Australia

Valo Therapeutics Oy, a clinical-stage immunotherapy company based in Finland, has announced the completion of a EUR 19 million investment round aimed at advancing its cancer immunotherapy platform. The funding, raised from investors in both Europe and Australia, will support the continued clinical development of its lead candidate and expand the scope of trials to three countries: Italy, Australia, and Germany.

The company confirmed that EUR 13 million of the funding round was co-led by Indaco Venture Partners and CDP Venture Capital SGR, with the involvement of Fondazione ENEA Tech e Biomedical. These investors follow a previously completed EUR 6 million contribution from Australian stakeholders, including Freeman Road, the investment entity of Dr Paul Porter, a current director at Valo Therapeutics.

Founded in Finland, the company’s core technology, known as PeptiCRAd (Peptide-coated Conditionally Replicating Adenovirus), was developed in the lab of Prof. Vincenzo Cerullo at the University of Helsinki. The platform uses oncolytic adenoviruses coated with tumor antigens to enhance immune responses in patients with solid tumors. The funding will enable Valo Therapeutics to finalize its Phase 1B clinical study for PeptiCRAd-1, which includes the proprietary virus VALO-D102, combined with MAGE-A3 and NY-ESO-1 peptides.

A portion of the funds will be allocated to activities in Southern Italy, where the company has launched a local subsidiary, Valo Therapeutics Italy Srl, headquartered in Naples. The initiative includes enrolling patients in the region, initiating large-scale virus manufacturing, and supporting local research collaborations with institutions in the south of the country.

According to David Hinton, Chair of Valo Therapeutics, the investment will allow the company to carry out clinical trials in Southern Italy and Australia, and in the longer term, will help scale development efforts toward larger Phase 2 studies.

Giovanni Rizzo, Partner at the Indaco BIO Fund and board member at Valo, noted that the company combines precision medicine with an advanced platform that could address cancers previously considered untreatable. He emphasized the importance of cross-border collaboration, with stakeholders from Italy, Finland, Australia, and Germany supporting the development.

Francesca Ottier, Senior Partner and Head of Italia Venture II Fund at CDP Venture Capital SGR, said the establishment of a research and development center in Naples represents a key step for the biotech ecosystem in Italy. The fund views this as an opportunity to foster talent and help drive innovation in cancer immunotherapy.

The transaction on behalf of CDP Venture Capital was managed by Ersilia Rendola and Paola Deidda, from the Italia Venture II - Fondo Imprese Sud.

Maria Cristina Porta, General Manager at ENEA Tech e Biomedical, stated that the decision to invest in Valo Therapeutics was based on the project's strong scientific foundation in immuno-oncology. She added that the initiative will contribute to the Italian biomedical value chain and attract foreign investments while supporting therapeutic advancements for patients.

In addition to PeptiCRAd, Valo Therapeutics is developing PeptiCHIP, a microchip-based solution for rapid and standardized identification of tumor neoantigens from minimal biopsy samples.