The investment aims to advance R&D and commercialization of non-insulin drugs with EOFlow’s wearable drug delivery system.
EOFlow intends to finance this investment through paid-in capital increase for the subsidiary. EOFlow owes the actual investment, totaling $4.6 billion (5.9 billion Korean Won), on Feb. 17, 2023. The remaining $3.1 billion (4 billion Korean Won) comes through an investment-equity conversion of existing loans.
According to a news release, Pharmeo plans to use the EOFlow investment to carry out a convergence pharmaceutical business. This business combines a wearable drug delivery system and pharmaceuticals developed by the subsidiary. Some pipelines include treatments for infertility, Alzheimer’s disease and Parkinson’s disease.
Pharmeo said it made progress in the wearable pharmaceutical space through EOFlow’s U.S. subsidiary, Sanplena. It completed Phase 1 clinical trials with a drug for obesity and nonalcoholic steatohepatitis (NASH). The company said it plans to conduct additional Phase 1 trials with the EOFlow EOPatch technology in the first half of this year.
EOFlow’s wearable drug delivery platform enables continuous infusion over several days with a single attachment. Its main area of focus remains diabetes, as the company recently submitted EOPatch for insulin delivery for FDA 510(k) clearance.
“Eoflow is focusing on diabetes business in preparation for the full-fledged growth period of insulin business expected in the near future, and focusing on subsidiary Pharmeo to expand our smart wearable drug infusion platform to other drugs and industries,” said EOFlow CEO Jae-jin Kim. “We will secure our position as a global leader in the new high-growth field of wearable pharmaceuticals.”
