CircNova, a Michigan-based biotechnology startup, has successfully raised $3.3 million in seed funding to propel its innovative AI-driven circular RNA (circRNA) therapeutic platform. This funding round was led by South Loop Ventures, a venture capital firm focused on diversity, with additional investments from Dug Song, Union Heritage Ventures, Michigan Rise, Invest Detroit Ventures, Spark Capital, and Kalamazoo Forward Ventures. The infusion of capital aims to accelerate CircNova’s mission to develop novel RNA-based therapies targeting diseases that have remained challenging to treat.
Background on CircNova & Founders
Founded in May 2023, CircNova is the brainchild of CEO Crystal Brown and Chief Scientific Officer Joe DeAngelo. Brown’s professional journey began in Detroit’s automotive manufacturing sector, where she honed her skills in operational efficiency and business strategy. Her transition into biotechnology was serendipitous; after assisting a biotech startup in streamlining its operations, she became captivated by the potential of life sciences. This passion led her to establish her own contract research laboratory, Great Lakes Biologics, which, despite early challenges, solidified her reputation within Michigan’s startup ecosystem.
DeAngelo, an MIT alumnus, brings a wealth of scientific expertise to CircNova. Prior to co-founding the company, he served as the CEO of Neochromosome, a biotech firm specializing in synthetic biology. His collaboration with Brown was sparked by a shared interest in the therapeutic potential of circular RNA and the application of artificial intelligence in drug discovery. Together, they envisioned a platform that could revolutionize treatments for diseases with unmet clinical needs.
The Science Behind CircNova’s Innovation
Circular RNA (circRNA) represents a unique class of RNA molecules characterized by their covalently closed loop structures, distinguishing them from the linear configuration of traditional RNA. First identified in 1976, circRNAs have been recognized for their role in regulating critical biological processes, including gene expression and protein translation. Their stability and resistance to exonucleases make them promising candidates for therapeutic applications.
CircNova’s proprietary AI platform, NovaEngine™, stands at the forefront of this therapeutic innovation. Utilizing advanced deep learning algorithms, NovaEngine™ predicts and designs the three-dimensional structures of non-coding circRNAs. This capability enables the identification and synthesis of circRNAs tailored to modulate specific disease pathways. The platform’s unique approach allows for the generation of physical circRNA molecules in a laboratory setting, which are subsequently validated through collaborative research efforts with institutions such as the University of Michigan.
The therapeutic potential of CircNova’s circRNA technology is vast, with a focus on addressing diseases that have eluded effective treatments. Current research initiatives are directed towards combating ovarian cancer, triple-negative breast cancer, neurodegenerative disorders, and rare genetic diseases. By targeting these challenging conditions, CircNova aims to fill significant gaps in medical treatment and improve patient outcomes.
Funding Round & Investors
In February 2025, CircNova secured $3.3 million in seed funding to advance its AI-driven circular RNA therapeutic platform. The funding round was led by South Loop Ventures, a Houston-based venture capital firm known for its commitment to diversity and innovation. Additional investors include San Francisco’s Spark Capital, Michigan-based investors Dug Song, Union Heritage Ventures, Michigan Rise, Invest Detroit Ventures, and Kalamazoo Forward Ventures.
South Loop Ventures’ decision to lead the round underscores its confidence in CircNova’s potential to revolutionize RNA-based therapies. Spark Capital’s participation aligns with its history of supporting groundbreaking technologies in the biotech sector. Local investors, such as Dug Song and Union Heritage Ventures, highlight the regional support for CircNova’s mission to address unmet medical needs through innovative solutions.
Industry Context & Market Potential
The global RNA therapeutics market is experiencing significant growth, with projections estimating its value to reach $18.0 billion by 2028, growing at a CAGR of 5.6% from 2023 to 2028.
Within this sector, circular RNA (circRNA) is emerging as a promising technology due to its inherent advantages over linear mRNA, including increased stability, enhanced protein expression, and reduced manufacturing costs.
The circRNA synthesis market alone was valued at $184.32 million in 2024 and is projected to surpass $805.44 million by 2034, registering a CAGR of 15.89% during this period.
This rapid growth is driven by the potential of circRNA to revolutionize treatments for diseases that have been challenging to address with traditional therapies.
CircNova’s innovative approach, combining AI with circRNA technology, positions the company at the forefront of this burgeoning field. By leveraging their proprietary NovaEngine™ platform, CircNova aims to develop therapies for conditions such as ovarian cancer, triple-negative breast cancer, neurodegenerative diseases, and rare genetic disorders—areas with significant unmet clinical needs.
Challenges & Future Plans
While the potential of circRNA-based therapies is immense, several challenges lie ahead for CircNova. Regulatory approvals present a significant hurdle, as the novel nature of circRNA therapeutics requires comprehensive clinical trials to establish safety and efficacy. Navigating the complex landscape of regulatory requirements will be crucial for bringing these therapies to market.
Scaling AI technology for drug discovery is another challenge. Ensuring that the AI-driven NovaEngine™ platform can efficiently and accurately predict effective circRNA structures on a large scale necessitates continuous refinement and validation. Collaborations with academic institutions, such as the University of Michigan, will be instrumental in this endeavor.
Looking ahead, CircNova plans to utilize the seed funding to advance its preclinical research and development efforts. Key milestones include initiating partnerships with pharmaceutical companies, advancing lead candidates into clinical trials, and expanding their proprietary AI platform’s capabilities. The company’s leadership envisions a future where circRNA-based therapies offer effective treatments for previously intractable diseases, ultimately improving patient outcomes and quality of life.
Conclusion & Takeaway for Investors/Industry Leaders
CircNova’s successful seed funding round marks a significant step forward in the development of AI-driven circRNA therapeutics. The company’s innovative approach addresses critical gaps in current medical treatments, particularly for diseases that have remained resistant to traditional therapies.
For investors and industry leaders, CircNova represents a compelling opportunity at the intersection of artificial intelligence and biotechnology. As the RNA therapeutics market continues to expand, and with circRNA poised to play a pivotal role, CircNova’s advancements could redefine treatment paradigms across a spectrum of challenging diseases. Engagement with CircNova’s progress offers a chance to be at the forefront of a transformative shift in medical science.
