Newcells Biotech

Nature of business

The development of an iPS cell platform, iPc assays for diagnostics, and using iPSC cells for cell technology based for drug discovery.

Description of deal

NVM invested £1.5m development capital.

News

NVM Private Equity (NVM) has invested £1.5 million of growth capital into Newcastle based hiPSC company Newcells Biotech (Newcells) alongside existing investors Northstar Ventures, who have provided a further £500k bringing the total round to £2 million.

Founded in 2015 and headquartered at the world-renowned International Centre for Life in Newcastle (an incubator space for young and established biotechnology companies) Newcells is a successful, early-stage, life-sciences spinout from Newcastle University, which is leading the way in the development of Human Induced Pluripotent Stem Cells (hiPSCs) for efficacy and toxicity testing in the drug development sector.

The investment will be used to support expansion of the team and the development of new assays (test cells) replicating human organs or cells for the purposes of drug and cosmetic product development.

Tim Levett and Aaron Lawson-Clark led the investment for NVM and Tim joined the Newcells board at completion. The investment in Newcells represents NVM’s fifthgrowth capital investment of 2018.

Newcells Biotech connected with NVM at the Entrepreneurs of the North 2017 event, organised by the Innovation SuperNetwork. The event offered an opportunity for North East companies to pitch to potential investors in London.

“We are delighted at the successful conclusion of the investment, which will enable us to increase our development capacity and accelerate the commercialisation of our unique cell-based assays for drug safety and efficacy testing. NVM and our existing investor Northstar Ventures understand what it takes to build high-growth technology businesses and we look forward to continuing our strong relationship with their team.”

Dr Mike Nicholds, CEO of Newcells Biotech