29th Jan 2008 07:00
Imperial Innovations Group plc ("Imperial Innovations") Circassia raises ‚£11 million in oversubscribed second funding round
Imperial Innovations Group plc (AIM: IVO), today announces the investment of ‚£11 million in biotechnology company Circassia Holdings Limited ("Circassia"), a company developing medicines designed to control immune system responses. Imperial Innovations' investment of ‚£1.75 million is part of an oversubscribed second round funding of Circassia, which includes new investors, Goldman Sachs and Invesco Perpetual, and existing investors, including Lansdowne Partners and Imperial Innovations. Following the investment, Imperial Innovations will hold a 13% stake in the company.
Circassia's products address the global allergy market, which is currently underserved despite the huge numbers of sufferers. Estimates suggest that allergies affect approximately 25% of the population in the USA and Europe, and this figure is growing at 2.5% per annum [Source: Datamonitor]. Despite this, allergy treatments have a number of drawbacks either only addressing the symptoms or requiring expert supervision over many months due to potential serious, even life-threatening, adverse reactions. However, Circassia's novel approach using its proprietary anti-allergy technology involves administering sections of the molecules that cause allergic reactions to desensitise sufferers. These sections, called T cell epitopes, are specifically selected to provide rapid efficacy whilst minimising potential adverse reactions in the patient.
Having completed preparations for the initiation of further phase II clinical studies in the last year, the company will use the proceeds from the investment to accelerate the development of its cat, ragweed, house dust mite and grass allergy vaccines to cure allergic rhinitis. The proceeds will also fund the acquisition and development of additional technologies. This includes further developing ToleroTrans - an organ anti-rejection technology acquired in July 2007 - and providing additional capital for other technology acquisitions in future.
This new investment follows a ‚£6 million funding round completed in January 2007. The company has a strong management board in place with an outstanding record in the industry and who are experienced in building businesses. Sir Richard Sykes, Rector at Imperial College and formerly Chairman of GlaxoSmithKline is Chairman of the board. Charles Swingland (Deputy Chairman) and Steve Harris (CEO) were instrumental in the IPO of PowderJect and its subsequent ‚£540 million sale to Chiron. More recently they were part of the team who sold Zeneus Pharma for US$360 million to Cephalon, Inc. Russ Cummings, Chief Investment Officer at Imperial Innovations is also a director of Circassia.
Susan Searle, CEO of Imperial Innovations, said,
"We are pleased that the potential of Circassia's novel anti-allergy vaccines has been recognised by current and new investors in the biotechnology sector. We look forward to new developments in the company as it embarks on its next stage of growth."
Steve Harris, CEO of Circassia, said,
"We are delighted that both our current and new investors are supportive and excited about the business. Imperial Innovations were particularly helpful, allowing management to remain focused on the rapid development of the technology."
-Ends-
For more information contact:
Imperial Innovations Susan Searle, Chief Executive Officer +44 (0)20 7594 6591
Lucy Ahfong, Marketing Communications Executive +44 (0)20 7594 6644
M:Communications Harriet Totty / Eleanor Williamson +44 (0)20 7153 1539 Circassia Steve Harris, CEO +44 (0)1865 784574 Rob Budge (RJB Communications) +44 (0)1865 760969 JPMorgan Cazenove (NOMAD to Imperial Innovations) Steve Baldwin +44(0)20 7588 2828 Notes to Editors
About Imperial Innovations Imperial Innovations is one of the UK's leading technology transfer and commercialisation companies. The company was founded in 1986 and its ordinary shares admitted to trading on the AIM Market of London Stock Exchange plc in July 2006, raising ‚£25 million at an offer price of 365p and ‚£1 million by means of a public offer. In November 2007, the company raised a further ‚£30 million by means of a placing of new ordinary shares with investors.
The company's integrated approach encompasses the identification of ideas, protection of intellectual property, development and licensing of technology and formation, incubation and investment in technology businesses. A wide range of technologies are commercialised within the areas of healthcare, energy, environment and emerging technology trends.
Based at Imperial College London, the company has established equity holdings in 74 technology businesses and is managing 133 commercial agreements as of 31 July 2007. Imperial Innovations also commercialises technologies originating from outside Imperial College through incubation contracts with the Carbon Trust and WRAP and has commercialisation contracts with a number of multinational corporations including BAE Systems.
www.imperialinnovations.co.uk
About Circassia
Circassia is a specialty biopharmaceutical company focused on developing medicines designed to control immune system responses. The company has a highly experienced management team with a proven track record in product development and commercialisation, and having successfully completed two substantial fundraising rounds is backed by a syndicate of world-class venture capital and institutional investors.
Circassia's lead products target allergies and utilise its proprietary T-cell epitope desensitization technology, which was originally developed at Imperial College London. The company is also developing its ToleroTrans organ anti-rejection technology, which uses a similar approach to down-regulate immune responses in transplant patients. Circassia has a number of ongoing development programmes, with the most advanced against cat dander allergy having successfully completed a phase II clinical trial.
For more information please visit www.circassia.co.uk.
IMPERIAL INNOVATIONS GROUP PLCRelated Shares:
Imperial Innovations Group