entrinsic bioscience (EBS) announced that it has secured $49 million in non-dilutive growth capital from Jefferies Group LLC's subsidiary, Jefferies Funding LLC (Jefferies). The event follows Series A and B raises, including multiple rounds of investment from Johnson & Johnson INNOVATION | JJDC.  Aon Plc's Intellectual Property Solutions also played an important role in helping to secure key Collateral Protection Insurance to support the financing.

"Our platform represents a new modality for creating functional ingredients and active pharmaceutical ingredients (APIs) that are highly efficacious, safe, and cost effective," said EBS CEO Stephen Gatto. EBS is pioneering an innovative approach to protein and ion channel modulation that originated from a $40 million NASA|BARDA grant. "This financing greatly accelerates the numerous commercialization efforts already underway with leading OTC, CPG, and therapeutic companies."  

Jefferies acted as sole lender to EBS. Aon Plc, using its proprietary intellectual property (IP) valuation platform to value EBS' IP portfolio, arranged for an IP Collateral Insurance policy for Jefferies, collateralized by EBS' IP portfolio. Insurers involved include Allianz, Aspen, and Markel.

CFO Mario Wanderley summarized the transaction: "We are very proud to have a firm of Jefferies' caliber backing us. Our insurance policy-backed deal was made possible by the significant value and broad applications of our intellectual property portfolio, which was subject to great scrutiny and due diligence by our financing partners who concluded that the facility amount represents a fraction of the value of our IP." 

Immediate applications include programs for GI, Airway Diseases and Skin. "Our platform has proven to translate from discovery through demonstrated human efficacy, and fundamentally disrupts the perceived limits of functional ingredients and API innovation to protect, maintain, and restore health and wellness. It is a blueprint for serial innovation," commented Gatto. 

"Through our innovative valuation platform and  Collateral Protection Insurance, Aon is helping to provide innovative growth companies, like EBS, with a path to non-dilutive growth capital that preserves the ownership and value for their founders and early investors," said Lewis Lee, CEO, Aon's IP solutions. "It was a pleasure to assist the teams at EBS and Jefferies in connection with their insurance-backed financing, which unlocks the value in EBS' IP."

About entrinsic bioscience  

entrinsic bioscience (EBS)  combines its proprietary IP platform and discovery engine to deliver next generation functional ingredients and Active Pharmaceutical Ingredients (APIs) designed to address multiple consumer health conditions and serious disease states.

EBS was the first to discover that precise, patented combinations of small molecule amino acids can modulate targeted Epithelial Transmembrane Proteins (ETPs) via cell signaling.  Through proprietary biomapping and electrophysiology techniques, EBS' platform harnesses the body's natural signaling mechanisms to protect, maintain, and restore health and wellness across a range of GI, respiratory, and skin conditions.  Recent partnerships include leading OTC consumer health companies, the world's largest CPG company, and a category leading global functional beverage company. EBS' first commercialized product, enterade Advanced Oncology formula, is an oncology supportive care product clinically proven to significantly reduce the side effects of chemotherapy and radiation treatment. It has been used successfully by over 40,000 patients.

About Jefferies  

Jefferies Group LLC (www.jefferies.com) is the largest independent, global, full-service investment banking firm headquartered in the U.S. Focused on serving clients for nearly 60 years, Jefferies is a leader in providing insight, expertise and execution to investors, companies and governments. The firm provides a full range of investment banking, advisory, sales and trading, research and wealth management services across all products in the Americas, Europe and Asia. Jefferies' Leucadia Asset Management division is a growing alternative asset management platform. Jefferies Group LLC is a wholly owned subsidiary of Jefferies Financial Group Inc. (NYSE: JEF), a diversified financial services company.

About Aon

Aon plc  (NYSE: AON) is a leading global professional services firm providing a broad range of risk, retirement and health solutions. Our 50,000 colleagues in 120 countries empower results for clients by using proprietary data and analytics to deliver insights that reduce volatility and improve performance.