Ambitious biotech firm in £3.7m US swoop

A BIOTECH business led by a former SSL International executive has bought a US company for £3.7m.

Daresbury-based Arcis Biotechnology, which produces environmentally-friendly cleaning and germ-killing products, has snapped up California-based Altos Medical.

Altos owns a complementary antimicrobial technology which enables the rapid killing of particularly difficult pathogens such as C-Difficile, TB and Norovirus.

It has widespread potential in hospitals, dental surgeries and other public health facilities across the world and is already used in a number of countries.

Altos is profitable and already has a global distribution agreement with a major US medical distributor for the sale of its products into the medical and dental markets worldwide.

Arcis chief executive Peter Whitehurst said: “This deal brings together two strategically complementary businesses – one with proven cash-generative assets and the other with significant and proven proprietary technologies which will deliver major revenue streams in coming years.

“The acquisition will therefore create a combined group that will be both profitable and cash generative, enabling the faster development and commercialisation of other Arcis and Altos products to access significant untapped markets.

“As an example, the ability to safely kill the difficult Norovirus winter vomiting bug in under one minute – an application which is already interesting a number of cruise ship companies.

“We have hand-picked a very experienced management team to deliver the potential of the business including Dr Jan Rogers who worked with me at SSL International were she headed up the Global Innovation team for Durex.”

The deal includes the raising of a £1.2m in funding to accelerate the R&D product pipeline which will allow Arcis to commercialise a number of promising products.

Professor John Womersley, director of Daresbury Science and Innovation Campus and chief executive of the Science and Technology Facilities Council, said: “This kind of deal sends a very clear message that UK North West Plc is alive, thriving and competing on a global stage. “

Arcis was advised by corporate financiers Zeus Capital and the Manchester office of national law firm Shoosmiths.