26 Nov Scot Bio biotech firm secures £2m-plus in funding deal
Scottish-based biotech business Scot Bio has raised more than £2m in one of the largest private investment funding rounds seen in Scotland so far this year.
The business, based at BioCity Glasgow, has raised the cash in a follow-on deal with Scottish investment syndicate Kelvin Capital, Investing Women, Oghma Partners and private investors in the UK and USA. Scot Bio has developed a patented process based on algae to respond to worldwide demand for products free of artificial colours.
The new funding will allow the company to scale up production and expand its existing team to respond to the rapidly expanding international market for natural colourants.
Following Kelvin Capital’s and Investing Women’s first round investment in 2017, the company successfully scaled up to 16,000 litres of production and developed multiple product samples.
They also brought their first commercial product to market in collaboration with Leith-based Firkin Gin to create Firkin Blue.
David Van Alstyne, chief executive officer at Scot Bio said. “This is exciting news for Scot Bio and a demonstration of the high quality of our product and the exceptional team behind it.”
John McNicol, director of Kelvin Capital which has over 180 angel investors, said: “We are delighted to continue to support Scot Bio with this large follow-on round of investment, and look forward to its continued rapid progress.”
Oghma Partners, the food & beverage focused M&A boutique, provided corporate finance advice to the Scot Bio management team.