PhaseBio Pharmaceuticals, a Malvern, Penn.-based, privately-held, clinical-stage biotechnology company developing drugs to treat diabetes, metabolic disease and cardiovascular disease, has raised a total of $48.4 million from its Series B financing following receipt of the third tranche to advance the company's product development programs.

In December 2009, PhaseBio raised $25 million in a Series B financing led by New Enterprise Associates, with participation by OSI Investment Holdings (now Astellas Venture Management) and previous investors Johnson & Johnson Development, Hatteras Venture Partners and Fletcher Spaght Ventures. These investors have now provided an additional $23 million.

The funding will support PhaseBio's phase IIb clinical testing of Glymera for the treatment of type 2 diabetes; a phase I clinical study of Vasomera in patients with stage 1 and 2 essential hypertension and additional preclinical work to support further clinical development of Vasomera for the treatment of acute and chronic heart failure and pulmonary hypertension; and to complete a phase I/IIa clinical study of Insumera, a fully native mature insulin fused to ELP, for type 2 diabetes.

"This additional investment with participation by all of our investors reflects their confidence in the PhaseBio product development programs, our versatile ELP technology platform and the extraordinary progress we have made in advancing our pipeline," said Christopher Prior, Ph.D., CEO of PhaseBio. "This provides us great flexibility in continuing to grow the value of PhaseBio.”