Airway Therapeutics, an Atlanta-based clinical biopharmaceutical company, has raised $50 million in funding to support the development of its lead drug candidate, zelpultide alfa.

The financing includes $26 million previously raised through a SAFE financing and $24 million from a Series E-2 round. Investors include Cincinnati Children’s and a group of large family offices.

The company plans to use most of the funding to complete the Phase 2b portion of its Phase 2b/3 clinical trial for zelpultide alfa. The drug is being developed to help prevent bronchopulmonary dysplasia (BPD), a serious lung condition that can affect very premature infants.

Zelpultide alfa is an engineered form of recombinant human surfactant protein D designed to help reduce inflammation, improve the body’s ability to clear pathogens, and support healthy lung function.

About 94% of Airway Therapeutics’ existing investors participated in the latest Series E-2 round, including Cincinnati Children’s.

The company will also use the funding for manufacturing and analytical work needed to advance the drug through clinical development.

Led by Chairman and CEO Marc Salzberg, MD, Airway Therapeutics expects its next major milestone to be an interim analysis of the Phase 2b trial, with results expected by the end of Q2 2027.