Akebia spins off new company to develop diabetic eye disease drug

Akebia Therapeutics has spun off a new company, the similarly named Aerpio Therapeutics, to develop drugs for diabetic macular edema and inflammatory bowel disease.

Akebia will continue developing its oral anemia drug candidate, according to a statement from the Cincinnati-area company.

The new company is looking to raise a series A round of financing this year.

“The formation of Aerpio allows us to focus and attract resources to the substantial opportunity we believe our lead programs represent,” said Joseph Gardner, CEO of both companies.

Aerpio plans to begin a phase 2a trial of its lead candidate, the diabetic macular edema drug, in the second quarter. The disease involves the swelling of the retina due to fluid leakage from blood vessels within the central portion of the retina.

Akebia last year raised a $22 million series B round to support clinical trials of its anemia drug. The round was led by Novartis Venture Fund and Venture Investors, and featured participation from a number of other investors.

Akebia was started several years ago after acquiring the rights to two drugs from Procter & Gamble, which dismantled its pharmaceuticals division.