Retrogenix Attracts Angel Investment

14/09/2009

A Sheffield-based start up company has secured £150,000 of equity funding having successfully completed Yorkshire Forward’s Access to Finance for Healthcare Technology Companies programme.

Retrogenix, which has developed a specialist cell microarray technology to screen drugs against human proteins, will use the investment to scale-up its services for pharmaceutical companies.

The idea to use the technology in this way was developed when Dr Jim Freeth, formerly a Project Leader at AstraZeneca, recognised an unmet need to understand what drives the side effects of drugs. Together with partner Jo Soden, Dr Freeth set up Retrogenix in October 2008 to capitalise on the demand from large pharma companies for this capability.

The technology can also be used in drug re-profiling, testing drugs which have already been launched to market for their adaptability to treat other symptoms and illnesses. With the cost of taking a drug to market in the region of $1bn, this technology offers an attractive opportunity for pharmaceutical companies.

Dr Freeth joined the Access to Finance programme, managed by Grant Thornton, in March this year to explore investment opportunities. He had already secured interest from a number of business angels at Venturefest and was seeking support to guide him through the minefield of pitching and negotiations.

He said: “The programme gave me the knowledge and skills to be able to negotiate effectively and achieve the best result for the company. The four day workshop gave me an in depth understanding of the equity landscape which was entirely new to me and the mock investor presentation was invaluable in teaching me how to pitch effectively to potential investors.”

Retrogenix, based at the Sheffield Bioincubator, has attracted three business angels, two of whom will also take an active role in the company as consultants. Neil Ewin and Mark Woodward of Ewin Woodward Development saw the commercial potential of Retrogenix’s technology and have invested both money and time into the company. Nick Stringer is the third investor who will be involved at board level.

Retrogenix is the first company to secure equity funding through the Access to Finance programme following its launch in February. The programme gives healthcare technology companies in Yorkshire the knowledge, advice, tools and resources needed to access equity funding from national and international investors.

Phil Whaley, programme manager, said: "Retrogenix's successful fund raising in these difficult market conditions is a reflection of the quality of both the team and business proposition on offer. The flexibility of the programme provided Jim with the tailored and targeted support he needed to conclude the deal.”

Alex McWhirter, Assistant Director of Business at Yorkshire Forward said; “The Healthcare Technologies sector is growing in the region with increasing demand for new solutions for pharmaceutical testing. We are delighted to be supporting Retrogenix as it commercializes its specialist cell microarray technology to screen drugs against human proteins. 

“The Access to Finance for Healthcare Technology Companies programme, managed by Grant Thornton, forms part of Yorkshire Forward’s ongoing strategy to support the development of the healthcare technologies industry in Yorkshire and Humber.”

Ends

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Notes to editors:

Yorkshire Forward
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• Yorkshire Forward’s investment across the region is maximised by attracting European Regional Development Funding.
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