About Arrowhead Research
Overview
Arrowhead Research Corporation is a holding company that forms, acquires, and operates portfolio companies commercializing innovative nanotechnologies. By working closely with leading scientists and universities, Arrowhead identifies the latest advances in nanotechnology and matches them with product development opportunities in high-growth markets. The Company is currently focused on the electronics and biotech industries.
Providing strategic management, financing, and operational services to its portfolio companies, Arrowhead takes an active role in their development, keeping the business and technical development teams at the portfolio level focused on near term revenue opportunities and capital efficiency.
Arrowhead’s strategy is to maintain or build a majority ownserhip position in each portfolio company, thus providing significant exposure to their growth. Arrowhead’s ultimate goal is to monetize the value of its subsidiaries through an initial public offering of subsidiary stock or a sale of a subsidiary to another company. Alternatively, Arrowhead could retain ownership of subsidiary to capture its continuing cash flow and income.
Arrowhead is currently focused on its two majority-owned subsidiaries, Unidym, Inc. and Calando Pharmaceuticals, Inc. Arrowhead also owns interests in other development stage nanotechnology companies and is seeking to selectively add to its portfolio.
Operating Subsidiaries
Arrowhead’s two most mature majority-owned subsidiaries are Unidym, Inc. and Calando Pharmaceuticals, Inc.
Unidym’s products are based on electronics-grade carbon nanotubes (CNTs), a class of molecules with multiple unique properties. For instance, some varieties conduct electricity better than copper, they are stronger than steel, and can be synthesized in bulk quantities. Unidym’s products are intended to replace a key material used in touch panels, LCD displays, and thin-film solar cells, which represents a market opportunity that is estimated to be in excess of $2.5B. Unidym is working in partnership with leading display manufacturers and end user customers to qualify its products with commercial shipment targeted in 2009. Arrowhead owns 80% of Unidym.
Calando is a clinical stage nano-enabled drug delivery company. Calando’s siRNA therapeutic, currently undergoing Phase I clincial testing, is the first to be used to deliver siRNA systemically in humans. RNAi (through siRNA) is a potentially revolutionary new way of treating diverse disease classes; however, the lack of a proven method of delivering siRNA in humans has held the new field back. Arrowhead owns 70% of Calando.
Pipeline
Arrowhead has interest in additional nanotechnology companies and plans to selectively add to its portfolio in the future.
Nanotope is a regenerative medicine company developing a highly flexible and customizable platform out of Northwestern University. Nanotope is developing a suite of products, each customized to regenerate specific tissues; including neuronal, vascular, bone, myocardial, and cartilage. The products are injectable compounds that work with surviving cells in and around the point of damage to initiate and support tissue regeneration and growth. Once regeneration is complete, the compounds are safely broken down and removed by the body. Nanotope is positioned to enter into a commercialization corporate partnership in 2010 and expects to be able to start a first round of clinical trials in 2010.
Leonardo Biosystems has a multi-stage delivery platform that has been shown in animal models to be highly effective in targeting delivery of siRNA and small molecule drugs. It expects to enter into commercial development partnerships in 2010.