Why it matters: The rapid follow-on financing gives Draig (one of our top 10 startups to watch this year) the resources to run two Phase 2 studies of DT-101, its experimental treatment for major depressive disorder (MDD), while advancing earlier programmes targeting related brain-signalling pathways.
Zoom in: Deep Track Capital led the round, joined by Janus Henderson Investors, Marshall Wace, British Business Bank and Jefferson Life Sciences.
- Draig raised a $140m Series A when it launched publicly in June 2025. That round was led by Access Biotechnology, with backing from Canaan Partners, SR One, Sanofi Ventures, Schroders Capital and ICG.
How it works: DT-101 is an oral positive allosteric modulator of AMPA receptors, which help transmit excitatory signals in the brain. Rather than activating the receptor directly, the molecule is designed to amplify its response to the neurotransmitter glutamate. Draig says the approach could rebalance brain circuits involved in depression while avoiding some of the safety problems associated with less selective AMPA modulation.
- The company has reported early evidence of safety, tolerability and target engagement from a Phase 1 study in 60 healthy volunteers.
What’s next: Draig is testing DT-101 in two Phase 2 trials:
- A global study, expected to enrol about 300 patients, evaluating the drug as a standalone treatment for major depressive disorder. Initial clinical readout is expected for 2027.
- A US study assessing it as an add-on to existing antidepressant therapy, with results also expected for 2027.
Also notable: Draig is developing highly selective modulators of GABA-A receptors, which regulate inhibitory signalling in the brain. The company previously said it planned to move two of these programmes, DT-201 and DT-301, towards the clinic in 2026, although it has not disclosed their initial indications.
Backstory: Draig was formed through a partnership between Cardiff University’s Medicines Discovery Institute and SV Health Investors. Its name means “dragon” in Welsh, reflecting its origins outside the UK’s traditional Oxford-Cambridge-London biotech cluster.
The big picture: Draig is not alone in trying to turn AMPA modulation into a new depression treatment. US-based Neurocrine Biosciences is running Phase 3 trials of osavampator, an AMPA receptor potentiator, as an add-on treatment for patients whose major depressive disorder has not responded adequately to antidepressants.
- The use of psychedelics is also currently being tested in similar indications. UK-based Compass Pathways is among the most advanced psychedelic developers. Its synthetic psilocybin treatment COMP360 is in late-stage development for treatment-resistant depression, with recent data suggesting that some patients maintained clinically meaningful improvements for six months after two supervised doses.
Yes, but: Neuropsychiatry remains a high-risk area for drug development. Depression trials can produce large placebo responses, while promising biological effects in early studies have frequently failed to translate into meaningful clinical benefits. The Phase 2 studies will provide the first substantial test of whether DT-101’s effects on brain signalling can improve symptoms in patients.
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