IP Group plc (LSE:IPO) has invested £4 million in portfolio company Microbiotica as part of a £36 million Series C financing round intended to support the clinical development of microbiome-based treatments.
The London-listed science and technology investment company said the financing increases its undiluted beneficial ownership interest in Microbiotica to 16.4%, with the holding valued at £24.1 million.
The funding round was led by British Business Bank, with participation from Tencent and other existing investors.
Microbiotica intends to use the proceeds primarily to advance its lead oral microbiome therapy, MB310, into Phase 2 clinical development for ulcerative colitis, following results from an earlier Phase 1b study.
Microbiotica Raises £36 Million to Advance Clinical Development
Microbiotica, a privately held biopharmaceutical company specialising in microbiome-based medicines, has completed a £36 million Series C financing round.
The investment will principally support the next stage of clinical development for MB310, an orally administered treatment candidate being investigated for ulcerative colitis.
The company previously reported positive results from a Phase 1b clinical study, providing the basis for progressing the treatment candidate into Phase 2 development.
The planned Phase 2 programme will represent a further stage of clinical evaluation, although the supplied announcement does not specify the trial’s anticipated start date, patient enrolment targets or expected completion timetable.
Microbiotica is also developing microbiome-based treatments for immuno-oncology applications as part of its broader clinical pipeline.
IP Group Increases Microbiotica Ownership to 16.4%
IP Group participated in the Series C financing with a £4 million investment, increasing its undiluted beneficial stake in Microbiotica to 16.4%.
The company reported a valuation of £24.1 million for its holding following the financing.
The investment forms part of IP Group’s portfolio activities in healthcare and life sciences, where it provides capital to businesses developing technologies originating from scientific research.
British Business Bank led the funding round, while Tencent and other existing shareholders also participated.
The transaction provides Microbiotica with additional funding for its clinical development programme and increases IP Group’s ownership exposure to the privately held company.
MB310 Targets Ulcerative Colitis
Microbiotica’s lead development programme, MB310, is an oral microbiome therapy being investigated as a potential treatment for ulcerative colitis.
The candidate belongs to a class of treatments known as live biotherapeutic products, which use selected microorganisms for therapeutic purposes.
Microbiotica develops its treatment candidates using a proprietary genomics-driven platform designed to analyse the human microbiome and identify microbial combinations for potential medical applications.
The company’s approach involves using microbiome profiling and genomic information to develop targeted therapies for specific conditions.
Following the Phase 1b results, Microbiotica plans to evaluate MB310 further through Phase 2 clinical development.
The treatment remains investigational, and additional clinical studies will be required to assess its efficacy and safety.
Investment Supports IP Group’s Life Sciences Portfolio
IP Group invests in science and technology businesses across healthcare, deep technology and clean technology.
Its portfolio includes companies developing products and technologies based on research originating from universities and other scientific institutions.
Microbiotica was established as a spinout from the Wellcome Sanger Institute and is based at Chesterford Research Park near Cambridge.
The company focuses on precision microbiome medicines, including treatments for inflammatory bowel disease and potential applications in cancer treatment.
IP Group’s additional £4 million investment increases its financial interest in Microbiotica as the biopharmaceutical company prepares for the next phase of clinical testing.
The reported £24.1 million valuation of IP Group’s holding reflects its investment position following the Series C financing.
About IP Group plc
IP Group plc (LSE:IPO) is a London-listed investment company focused on science and technology businesses operating in healthtech, deeptech and cleantech.
The group invests directly in companies developing research-based technologies and also operates through its Parkwalk growth Enterprise Investment Scheme funds.
Its investment activities include businesses emerging from universities and research institutions, with portfolio companies including Oxford Nanopore Technologies and Hinge Health.
IP Group provides capital to businesses at different stages of development, including companies progressing technologies through research, clinical evaluation and commercialisation.
Leave a Reply