Fund-raising success for Fusion spin-out
FUSION IP, the university commercialisation company, confirmed today that one of its portfolio companies Morvus Technologies has completed a £2.15m fund-raising.
The Sheffield-based firm said that the successful fund-raising should result in a value uplift of around £450,000.
The funds will be utilised by Carmarthen-based pharmaceutical firm Morvus to progress its main drug development programs.
Fusion’s holding in Morvus results from its sale of specialist oncology portfolio companies Cardiff Protides and Cardiff Biologicals to Morvus in late 2007.
As a result of the trade sale Fusion acquired a 20% shareholding in the enlarged Morvus group.
Following the funding round announced today Fusion will now have a 9.7% shareholding in Morvus.
Morvus has also signed an exclusive, world-wide, licensing agreement with NuCana BioMed, which grants NuCana the right to develop Morvus’ ProTide technology for the enhancement of nucleoside analogues
The Agreement grants Morvus certain rights and future milestone payments and royalties resulting from the commercialisation of the technology.
Nucleosides are important drugs used in the treatment of many common cancers.
The ProTide technology enhances known cancer agents some of which are blockbuster medicines in the cancer market, and improves their efficacy and reduces toxicity.
David Baynes, chief executive of Fusion IP, said: “These are difficult times for funding biotech companies and credit is due to the Morvus management team for completing both the licensing deal with NuCana and the £2.15m fund raising, which are tremendous achievements.”
