• Merck, Abbvie and Amgen VC groups participated
• Rheostat is focused on developing novel treatments for neurodegeneration, cognition and rare diseases

Rheostat Therapeutics, a biotech company focused on the discovery of novel treatments for neurodegeneration, cognition and rare diseases, today announced the close of a Series A financing round totaling $23 million. Proceeds will be used to advance its programs towards clinical trials, build its internal team and expand studies evaluating biomarkers.

The round was co-led by MRLV (the therapeutics focused venture capital group within Merck) and AbbVie Ventures, and included Amgen Ventures, Alexandria Venture Investments and Mayo Clinic. Existing investors SV Health Investors and the Dementia Discovery Fund also participated. As part of this latest round of financing the company will be expanding its board to include Reza Halse, President of MRLV, and John Gustofson, Managing Director at AbbVie Ventures.

Rheostat is working to develop novel treatments for neurodegenerative disease through modulation of mitophagy and autophagy. Its central thesis is that the degradation of toxic cellular components is a fundamental node of biology. The mutations that impair these clearance pathways have been linked with multiple neurodegenerative diseases, many of which are associated with cognitive impairment like Parkinson’s disease. The company is working to leverage its understanding of these pathways to discover and develop novel small molecules that will restore cellular balance and treat neurodegenerative and rare diseases.