Richmond Times-Dispatch

Slump continues

Oct. RIC passenger traffic down 65.2% from 2019.

- BY JOHN REID BLACKWELL jblackwell@timesdispa­tch.com (804) 775-8123

A Richmond-based pharmaceut­ical manufactur­ing company founded this year to help build a strategic, national reserve of essential medication­s has raised $15million from investors.

Phlow Corp. raised the money in an equity funding round, according to a filing with the U.S. Securities and Exchange Commission.

The company could seek $5 million more for a total capital raise of $20million, according to the Nov. 20 filing. Four investors have participat­ed in the capital raise.

Separately, the company filed a notice two days earlier with the SEC for about $8 million in options, warrants and other rights to acquire securities.

“Phlow will continue to raise additional capital as deemed necessary to ensure the company is able to achieve its bold vision,” Robby Demeria, Phlow’s chief of staff, said in a statement released Tuesday night.

Phlow, based in the Virginia Bio+Tech Park in downtown Richmond, was co-founded by Virginia Commonweal­th University professor and chemical scientist Frank Gupton and Eric Edwards, who also was a co-founder of Kaléo, another Richmond-based pharmaceut­ical developmen­t company.

Phlow announced in

May that it had received a $354 million federal contract to help build a strategic reserve of essential medication­s and to make active ingredient­s for more than a dozen medicines used to treat patients with COVID-19.

The startup company also announced it would workwith manufactur­ers such as AMPAC and the Civica Rx network to scale up production of medication­s using processes developed at VCU.

Under the agreement AMPAC would make some of the pharmaceut­ical ingredient­s at a factory in Petersburg that the company reopened in 2019, five years after the plant closed.

In the statement, Demeria said Phlow, working with partners including VCU’s Medicines for All Institute, has “contribute­d millions of doses of essential medicines used to treat COVID-19 patients to the U.S. Strategic National Stockpile.”

“Many of the medicines currently being manufactur­ed are used to treat hospitaliz­ed patients with COVID-19-related illnesses,” Demeria said. “Additional­ly, Phlow is standing up key commercial operations to further its mission and increase the number of stakeholde­rs it will positively impact, which this additional funding helps to support.”

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