Richmond pharmaceutical company Phlow Corp. is looking to raise up to $50 million in outside funding, according to a Securities and Exchange Commission filing.
Phlow has so far raised $24.2 million from 11 investors toward a Series B round, according to the early September filing. The round puts Phlow’s pre-money valuation at $230 million, according to PitchBook.
We’ve reached out to Phlow for comment and will update this post when we hear back.
Phlow, co-founded in early 2020 by Eric Edwards and Frank Grupton, seeks to manufacture high-quality, essential generic drugs at a low cost, helping to boost the United States’ drug reserve. Last year, it began producing commercial drugs to supply pediatric hospitals.
The company closed a $20 million Series A round last year from undisclosed investors. That funding was to go toward building up the company’s commercial business team, establish data and analytics platforms and advance its research and development, among other initiatives.
Phlow is a member of a local project called the Alliance for Building Better Medicine that aims to create a research and manufacturing hub for essential medicines and their ingredients. Earlier this month, the alliance landed $52.9 million in federal grant money toward its efforts.
Activation Capital, a Richmond-based state organization focused on growing Virginia’s life sciences industry and one of the leaders of the project, said private and public organizations will provide an additional $13.3 million toward the initiative, for a total investment of $77.8 million.
Phlow’s role in the group is to manufacture pharmaceutical ingredients. Other members of the project include Petersburg’s AMPAC Fine Chemicals, Utah nonprofit generic medicine provider Civica Inc. (which is building a plant in Petersburg), Henrico County’s Community College Workforce Alliance, the Greater Richmond Partnership, the Virginia Economic Development Partnership, the Medicines for All Institute at Virginia Commonwealth University, Virginia State University, Virginia’s Gateway Region and the cities of Richmond and Petersburg.
