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Southport biopharma startup gets $1.5M

A Southport biopharmacetical startup plying a cutting-edge diabetes therapy has obtained $1.5 million in equity financing, one third of it coming from state taxpayers.

Connecticut Innovations Inc. in Rocky Hill, the state’s quasi-public technology investment arm, announced its $500,000 seed investment in Thetis Pharmaceuticals LLC.

Stonehenge Partners and unidentified angel investors put up another $1 million, CI said Monday.

Thetis’ treatment for Type II diabetes involves a molecular compound that binds with metformin to reduce harmful cholesterol and fats in blood that hurt the heart. It also offers a dual benefit of regulating blood-sugar levels.

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It also may prove a beneficial oral preventative for pre-diabetic patients, authorities say.

The company plans to launch clinical trials for its TP101 compound in 2012, says Frank Sciavolino, co-founder, president and chief scientific officer.

CI obtained a seat on Thetis’ board.

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