German biotech raises $53 mln for Alzheimer's work

* Probiodrug financing one of largest this year

* Funds will help pay for firm's early-stage research

LONDON, Nov 2 (Reuters) - Privately held Probiodrug of Germany has raised more than 36 million euros ($53 million) to fund its work into Alzheimer's disease in one of the year's biggest fund-raisings by an unlisted biotech company.

The group said on Monday it had closed its second financing round co-led by BB Biotech (BION.S) and Edmond de Rothschild Investment Partners, joined by LSP Life Science Partners, Biogen Idec New Ventures (BIIB.O) and existing investors.

Probiodrug's scientists are taking a novel approach to treating Alzheimer's by inhibiting an enzyme in the brain called glutaminyl cyclase, which appears to be involved in a cascade of events that can lead to the formation of damaging plaques.

The new funds will be used to further progress the company's early-stage drug research. ($1=.6784 Euro) (Reporting by Ben Hirschler; editing by Simon Jessop)