French startup Aqemia, which combines quantum-inspired physics with AI for drug discovery, has raised $38 million in a new funding round led by Cathay Innovation, propelling its total funding past $100 million.
Key Takeaways:
- Aqemia secured $38 million in new funding led by Cathay Innovation, bringing its total funding to over $100 million
- The startup plans to open a London office in January 2025, marking its first international expansion
- The funding comes just months after announcing a $140 million collaboration with Sanofi in December 2023
The fresh capital injection comes less than a year after the company's previous €30 million raise that completed its €60 million Series A round in January. Existing investors Wendel, Bpifrance Large Venture, Eurazeo, and Elaia participated in the latest round.
Why it matters: The rapid succession of funding rounds and partnerships signals strong market confidence in Aqemia's unique approach to drug discovery, which doesn't rely on experimental data to train its AI models.
Behind the science: The company differentiates itself by teaching theoretical physics to generative AI, allowing it to design novel drug molecules that are significantly different from existing compounds – a key challenge in current AI-driven drug discovery. Its proprietary algorithms were developed over the course of 12 years of research at Oxford, Cambridge, and ENS/CNRS. These algorithms generate their own training data, running 10,000 times faster than traditional methods. This speed, combined with the platform's accuracy, allows the AI to discover innovative drug candidates more efficiently than conventional approaches that depend on pre-existing experimental data.
The potential for Aqemia's technology has been validated through preclinical successes and partnerships with pharmaceutical giants, including a $140 million collaboration with Sanofi announced in late 2023.
What's next: Aqemia will use the funding to prepare for clinical trials and fuel its international expansion, starting with a new office in London's King's Cross area scheduled to open in January 2025.
Maximilien Levesque, PhD, CEO and co-founder of Aqemia, called the funding “a transformative moment” for the company. “Less than a year after our last round, this successful fundraising and the opening of our new London office mark significant strides toward our ambition to accelerate the discovery of new medicines on a global scale,” he said. “With this momentum, we are poised to advance to clinical trials, bringing us closer to delivering life-changing treatments to patients in need.”
The bottom line: Aqemia's recent successes, including the collaboration with Sanofi and promising preclinical results in oncology programs, demonstrate the growing potential of AI-powered drug discovery platforms in transforming pharmaceutical development.