The Canadian company is looking to raise $1.4 billion from the venture capital industry, and says it plans to build out a suite of products to treat common conditions, including inflammatory bowel disease, chronic pain and depression.
The company is working to develop products for people with asthma, psoriasis and rheumatoid arthritis.
Its biggest innovation, which is being tested on its patients, is a pill called Purium that delivers an antibiotic that targets the inflammation that causes allergies and inflammatory bowel diseases, said the company in a statement.
It also has been testing an anti-inflammatory drug called Vitaspring, which targets the arthritis that leads to Crohn’s disease.
The announcement comes as the pharmaceutical industry grapples with a shortage of antibiotics for Crohns disease.
Last year, the US Food and Drug Administration approved the first-ever antibiotic for Crohns, called vancomycin, and other antibiotics have been approved in Europe and Asia.
“Our goal is to accelerate the pace of innovation, increase the rate of innovation and improve quality in the medicine we make,” said CEO and co-founder Alexander Zagorin in a news release.
He added that the company’s research and development work has been funded by grants from the Ontario and Quebec governments.
Purium’s research has led to its products being used in clinical trials in India, the Philippines, Canada, South Africa and the United States.
The new round will bring the total funding of the new fund to about $1 billion, according to the statement.
The company has raised $8.5 billion from private equity firms, which include Bain Capital, Blackstone, Andreessen Horowitz and Sequoia Capital.
Its previous investor, the UK-based investment company BHP Billiton, bought the company for $15.6 billion in 2010.
The company also has a patent on a drug that treats psoropharyngitis, a condition in which inflammation of the lining of the lungs causes symptoms including cough, difficulty breathing and weight loss.
The drug was approved in the US and Canada last year.