Training machine learning (ML) and artificial intelligence (AI) algorithms requires quality data. In the pharmaceutical sector, obtaining this data can be tough because most of the knowledge about drugs is contained in scientific publications in an unstructured text format.
Enter Edmonton-based DrugBank, which uses a âhybrid approachâ that involves AI, natural language processing (NLP), and scientific experts to structure this data and make it usable for pharma companies and academic researchers. With over 12 million annual users, 300-plus open source projects, more than 26,000 academic citations, and a customer base that includes 13 of the worldâs top 20 pharmaceutical companies, DrugBank claims to be âthe worldâs largest online database of structured drug and drug target information.â
âEventually, most of drug discovery ⊠and most of medicine will be powered by AI.â
-Mike Wilson, DrugBank
To date, the University of Alberta spinout has achieved most of its growthâincluding its 200-plus paying customersâorganically. Now, with $9 million CAD in seed financing led by MontrĂ©al-based Brightspark Ventures, and supported by a group of strategic investors from the precision medicine and pharma spaces, DrugBank is ready to grow its team and expand its AI capabilities.
In an interview with BetaKit, DrugBank co-founder and CEO Mike Wilson said he sees âa lot of roomâ for the startup to grow in the pharma industry, where it serves a mix of giants like Merck and smaller firms that are leveraging AI in the drug discovery and precision medicine spaces.
âThose are two areas that are very data dependent ⊠and we see them growing a lot,â said Wilson. âEventually, most of drug discovery will be powered by AI and most of medicine will be powered by AI, and it will be using this data in much, much more advanced ways.â
DrugBankâs all-equity March seed round was led by Brightspark, with participation from MontrĂ©al-based precision health-focused investment fund Amplitude Ventures and Belgiumâs Theodorus Investment Fundsâwhich has âa strong networkâ of connections to pharma companies operating in the country. The round also saw support from existing investors AccelerateFund and Milad Alucozai from BoxOne Ventures, who led DrugBankâs 2020 pre-seed financing. The raise brings DrugBankâs total funding to $10.6 million CAD.
DrugBankâs origins date back to 2006, when it was launched as a University of Alberta project in Dr. David Wishartâs lab focused on helping academic researchers gain access to structured info about drugs. In 2011, the initiative became a part of the federally-funded, Edmonton-based Metabolomics Innovation Centre.
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Recognizing the projectâs potential following âa lot of inbound interest from companies,â Wilson and CTO Craig Knoxâa pair of researchers who had previously worked on the initiativeâdecided to commercialize DrugBank in 2015, nabbing their first customer in less than a month.
âThe demand was already there, so once we commercialized, we had the worldâs top pharmaceutical companies knocking at our door,â said Wilson.
Given DrugBankâs progress to date, Brightspark Principal Eleonore Jarry told BetaKit that the startup is âuniquely positioned to winâ in this space.
âThe company has extensively researched and developed proprietary technology, over 15 years in the making,â said Jarry, who cited DrugBankâs strong reputation in the pharma sector and organic growth as two of the factors that drew Brightspark to invest.
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According to Jarry, Wilson and Knox bring âa unique knowledge mix of computing and biologyâ to the table. As part of the startupâs seed round, Jarry is joining DrugBankâs board, along with Theodorus Principal ThĂ©o Risopoulos.
DrugBank is a member of Edmontonâs growing AI ecosystem, which includes support organization Amii, as well as growing startups like Samdesk and PainWorth.
Investment in AI-powered drug discovery is on the rise. Within the Canadian tech sector, there are a number of different companies working at the intersection of AI and drug discovery, including Vancouver-based AbCellera and Torontoâs Deep Genomics. DrugBank aims to become the âcritical infrastructureâ for firms operating in this space.
According to Knox, the complexity of biomedical dataânot to mention the amount of itâis increasing. âWith over two million scientific journals being published each year, the rate at which biomedical data is growing and the speed at which it becomes out of date makes it difficult to rely on and even harder to work with,â he said.
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Amid this environment, DrugBankâs goal, says Wilson, is to enable all of that information âto be used to its full potentialâ by customers of all sizes.
âThe saying goes âduring a gold rush, sell shovels,ââ said Jarry. âDrugBank is the shovel in this new era of medicine, providing the structured drug data necessary for both incumbents and startups to develop their own AI solutions.â
DrugBankâs goal is to become a standard source of biomedical data used by every pharma company. To get there, the startup intends to use its seed financing to invest heavily in research and development (R&D), expand its AI and NLP capabilities, and double its 50-person team over the next year.
Wilson sees plenty of room to grow by catering to this space, and so do the companyâs investors. Amplitude co-founder and partner Jean-Francois Pariseau told BetaKit he believes DrugBank has âa massive opportunity in front of it.â
âThe adoption of AI and [ML] across the industry is just beginningâ99 percent of companies have been involved in a project that has AI as part of the project, but this is the beginning of a deeper integration of AI tools in the drug development process,â said Pariseau. âThese tools all need rich, structured data to build their algorithms.â
Feature image of Craig Knox and Mike Wilson, courtesy DrugBank.