Probiodrug, the Germany-based developer of small molecule inhibitors against inflammatory and neurodegenerative diseases, has raised €20.6m in series A funding from Bayern Kapital (Seedfonds Bayern), HBM Biopartners, IBG Beteiligungsgesellschaft Sachsen-Anhalt mbH, Sachsen LB Corporate Finance Holding GmbH (Dresden Fonds GmbH), TVM Capital GmbH, tbg Technologie-Beteiligungs-Gesellschaft and Georg Frank. Probiodrug is developing a new approach to treating Alzheimer’s disease and other neurodegenerative and inflammatory diseases, focusing on the enzyme glutaminyl cyclase. The funding will allow Probiodrug to advance preclinical and clinical development of its small molecule drugs. The company simultaneously announced the acquisition of Germany-based Ingenium Pharmaceuticals, a discovery and development company focused on inflammatory diseases.

PregLem, the Switzerland-based specialty biopharmaceutical company, has raised €20m in series A funding from Sofinnova Partners, MVM and Neomed Management. PregLem also announced the signing of a licensing agreement with Euronext-listed Ipsen, under which Ipsen will grant PregLem worldwide development and commercialisation rights to certain Ipsen compounds, for use in reproductive medicine only. The funding will allow PregLem to undertake the development of these and other key compounds in the PregLem portfolio.

Kiadis, the Netherlands-based oncology product development company, has raised €15m from Alta Partners, Esprit Capital, Life Sciences Partners, MedSciences Capital, N.V. NOM and Quest for Growth. The Kiadis product pipeline is focused on providing novel treatments in the field of bone marrow transplants and the treatment of aggressive cancers. The four most advanced products are currently in clinical trials, ranging from phase I to entering phase III.

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Is Sir Christopher Evans selling out? The Welsh Wizard, father of myriad bioscience companies, has just raised a £500m-plus fund that aims to take large stakes in or acquire companies in the European healthcare sector. A major investor in the fund is Sir Tom Hunter, who runs his own private equity firm, West Coast Capital.

Up until now, Sir Christopher has used his own scientific background to help develop and commercialise the newest ideas, with incredible success. His average investment, through his Merlin funds has been £3m to £15m, mainly in early stage research firms. But the new fund aims to invest between £30 and £300 in buyouts and there are rumours of targets already lined up.

What are we to make of this? Few would begrudge a talented and hardworking businessman like Sir Christopher further riches. He is an inspiration to many people and wealth creation is an important part of this. But the very fact he is an inspiration makes this departure a little sad if it means an increasing break from his roots and from the scientists and other researchers who have benefited from his knowledge and experience in the past.

Or perhaps I'm being too sentimental?

Just to put a little perspective on the previous post, it must be said that things aren’t that bad in the biotech sector. Immatics Biotechnologies has just announced it has closed a €40m financing round, the largest private biotech investment in Germany since 2001.

Immatics is a biopharmaceutical company developing peptide-based immunotherapeutic substances for cancer treatment and successfully closed a Phase I clinical trial of its renal cancer treatment in October. The investment will enable it to take put two of its product candidates through Phase II clinical studies, as well as expanding the company’s pipeline.

With this deal, Immatics joins fellow biotech companies, Belgian Movetis and French Novexel, in raising significant funding since the start of the year, though it falls short of their respective €49m and €50m funding.

Has biotech suddenly become flavour of the month, or is this a theme that has been a long time in the making? Comments welcome.

The world of biotech investing is notoriously risky, with some start-ups requiring inordinate sums of money before any product is even close to market. Investments that pay-off can more than compensate for that risk, so successful exits are rightly trumpeted from the rooftops. The less successful exits, for obvious reasons, don’t usually get so much attention.

Take, Neuro3D, the France-based biopharmaceutical company, which has just released a noticeably short announcement to say that it is “closing down its activities”. Neuro3D was developing treatments for psychiatric disorders such as schizophrenia, depression and anxiety, and had taken in almost €60m in funding since it was set up in November 2000. The most recent cash injection was a series C round of more than €30m in late 2004, when the company's lead compound, the antipsychotic ocaperidone, was in phase II clinical trials.

This all-too-familiar announcement contrasts with news that Arrow Therapeutics is to be acquired by AstraZeneca for €115m in cash. A healthy - if unspectacular - exit, and cause for a bit a back slapping by participating VCs. Party invitees will include TVM Capital and GIMV but they may have mixed feelings: both were also investors in Neuro3D.