Are­na's Amit Mun­shi spins out his neu­ro sub in­to a biotech start­up, with $56M for the bap­tism

Back in Jan­u­ary, Are­na Phar­ma $AR­NA CEO Amit Mun­shi turned up at JP Mor­gan with am­bi­tious plans for 2020. Near the top of the to-do list was news that he was cre­at­ing a new neu­ro sub­sidiary that would fo­cus on mi­croglial neu­roin­flam­ma­tion.

Now, he’s tak­ing the sub and spin­ning it out in­to a new biotech with $56 mil­lion in fund­ing and a syn­di­cate of its own to back up their work. And Mun­shi — who’s been suc­cess­ful run­ning the mar­ket cap up to the $5 bil­lion mark — will take his val­ue from the 33% eq­ui­ty stake that Are­na re­tains in the spin­out.

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