Afaxys, Inc.
Afaxys, Inc. is the first-of-its-kind, socially conscious healthcare company whose name is derived from a combination of affordable and access. With a mission to provide affordable access for all who need it, Afaxys was created in 2008 to provide stable prices and secure access to contraceptives for Planned Parenthood. Since then, Afaxys has added over 6,000 public health family planning providers to its customer base. In 2022, Afaxys Pharma held a 24.9% share (second highest) of the oral and emergency contraceptive market in the public health sector.
Afaxys offers twelve contraceptive products to cover the complete range of contraceptive needs, established a robust Group Purchasing Organization (GPO) that provides everything a modern health center requires from antiseptics to exam tables, and recently due to the worldwide shortage, developed and delivered its own production of Lidocaine which is critical in the provision of abortion and some contraceptives.
Afaxys achieved profitability eight years after founding in 2016 and celebrated its 10th anniversary in 2018.
Several times since its founding, Afaxys has received investments from Planned Parenthood affiliates and other supporters. All investments have seen a financial return, including regular dividends.
Afaxys’ successful performance history and exceptional technical and managerial leadership make it an ideal investment for the creation of new and innovative contraceptive products.
Injection Contraceptives
Injection contraceptives are the second most common method used by Title X female patients relying on reversible contraceptive methods (second to the pill and nearly 10% more popular than the IUD.) Depo Provera (DMPA) was approved in 1992 as an injectable contraceptive option. Today, 1.5M women use an injectable option, aka “the shot” and data show it is most often used by patients of color and teens of lower-income level.
Unfortunately, DMPA has some drawbacks: Unlike other contraceptives, the patient can’t leave the health center with a year’s supply. The patient must return for each injection (approximately every three months.) Also, because it is administered intramuscularly, it is painful.
MSQA
MSQA is an auto-injectable contraceptive containing medroxyprogesterone (DEPO) which can be self-administered by patients. Each MSQA injection lasts for three months.
Afaxys developed MSQA at the request of Planned Parenthood Medical Directors who wanted a subcutaneous form of DMPA that patients could administer themselves. Studies demonstrate that patient control improves patient compliance.
After due diligence, Afaxys started the drug development process for MSQA which is on track for FDA approval in 2026 and commercial launch in 2027.
The funds being raised now are for the 2027 commercial launch and will be used strictly for MSQA, not for other Afaxys operations.
The Opportunity
MSQA will be the first of its kind patient-controlled injectable contraceptive with the potential to change the contraceptive landscape and grow the injectable market space. It addresses the drawbacks of the current DMPA product, filling an unmet need and placing power and precision in the patient’s hands.
- Market research demonstrates a need for a DMPA SubQ self-administered version:
In focus groups, health care providers indicate a high likelihood of switching patients to MSQA from the current DMPA product. - In focus groups, patients demonstrate a high likelihood of choosing self-administration of injectable contraceptive over contraceptive administered by a professional.
- Patients who choose DMPA stay on the product for an average of 4-5 years and recommend it to their sphere of influence.
- While the primary motivation is to create MSQA for the public health market, research indicates a meaningful opportunity to expand into the retail market.
Investment
Round 1: Planned Parenthood affiliates and supporters invested $3.2M in the first round of MSQA development.
Round 2: Afaxys is on the way to a successful Round 2 with the goal of $4M by the end of 2023, which is enough capital to comfortably carry the development work through FY 2024.
This Opportunity — Round 3: Additional funds will be raised in this round to meet a $21.0 million total capital need. The commercial launch is expected to be in 2027 with dividend availability in FY2029 and beyond. (Full financials and business plan available upon request.)
Minimum investment is $100,000.
Ronda Dean, CEO of Afaxys
As a senior executive with more than 30 years of accomplishments in the healthcare and pharmaceutical industries, including leadership of both for-profit and nonprofit organizations, Ronda Dean offers a breadth of experience across various facets of the healthcare industry. Under her leadership, Afaxys has profitably launched 12 products in the sexual and reproductive health therapeutic categories and successfully executed a $20 million capitalization strategy.
Prior to her work at Afaxys, Ronda spent 16 years with Parke-Davis Pharmaceuticals, a division of Warner Lambert, where prior to the company’s merger with Pfizer, she served as Vice President and General Manager of Women’s Healthcare, leading a 300-person business unit through a period of accelerated growth. Over the years, she has sat on numerous boards, including Johns Hopkins Medical Institutions, the Storm Eye Institute at Medical University of South Carolina, Wings for Kids, and the Center for Women. She currently serves on the boards of the Coastal Community Foundation of South Carolina and the New Morning Foundation.
Ronda holds a Bachelor of Science in Allied Health Sciences from The Ohio State University and an MBA from the Fuqua School of Business at Duke University.