Aerovance finds breathing room

Aerovance Inc. is slated to announce today that it has spun out of Bayer Pharmaceuticals Corp., backed by a $32 million series B round led by Apax Partners. The new company focuses exclusively on developing biologics to treat severe respiratory diseases, beginning with two compounds it took with it from the pharma company.

Aerovance CEO Wolf-Dieter Busse and Lori Rafield, a partner at Apax, said the company's focus makes it unique. "Respiratory diseases have been underserved," said Busse. "Compared to a disease like cancer, it's covered by very few companies."...