OptiBiotix Health plc (AIM: OPTI), a Life Sciences business developing products to tackle obesity, high cholesterol and diabetes is pleased to announce that it has raised £1,500,000, before expenses through the issue of 2,000,000 new ordinary shares at a price of 75 pence per share (the “Placing”).
Since listing in August 2014, OptiBiotix has made significant progress in its strategy of developing products to modulate the human microbiome to prevent, manage, and treat human disease. This has led to four commercial deals, six new patents, and five new microbial strain deposits, validation of its OptiScreen® and OptiBiotix® platforms and successful completion of human studies on its cholesterol reducing product. This has created multiple product and partnering opportunities and led to significant partner interest. The board now wish to leverage OptiBiotix’s leading position in the fast evolving microbiome space to accelerate the commercialisation of existing products and expand its new product pipeline.
Use of Proceeds
The Company intends to use the proceeds of the Placing to:-
1) Enhance its in-house product development capability in the microbiome space by the recruitment of four new development/ formulation scientists. This is expected to support opportunities for partner joint development;
2) Extend its OptiScreen® technology platforms into other application areas, such as diabetes and bone health. This is expected to create new opportunities with existing and new partners;
3) Create a new ‘SweetBiotix™’ platform with a focus on developing ‘sweet healthy sugars’. This accelerates the progress made with the companies OptiBiotix® platform, and
4) Extend OptiBiotix’s technology platforms into new application areas, in particular skin health. This creates new product opportunities in large global markets including skincare ($121bn), Health Care Acquired Infections ($82bn) and wound care ($18.3bn).
The Company believes these developments provide significant growth opportunities to ensure OptiBiotix remains at the leading edge of an emerging market forecast to become one of the world’s fastest growth areas. OptiBiotix has made good progress since listing and now looks to build on this solid foundation to build a microbiome business with sustainable and significant value for shareholders.
Following the Placing the Company will increase its net funds from £2.2m to circa £3.7m.
Stephen O’Hara, CEO of OptiBiotix said: ‘Whilst the company has sufficient funds to commercialise existing platforms the high level of investor and partner interest has created an opportunity to raise additional funds to consolidate our leading position in the microbiome space. These new funds will allow the company to increase its in house development capability, accelerate the commercialisation of existing products, extend our technology platforms into new application areas, and expand our product pipeline. These new developments represent high growth opportunities in large global markets equal to or greater than existing plans consistent with our strategy of targeting large global markets with an unmet need.’
Further information is available at Optibiotix.com