Extra capital raised to invest in sales growth at life sciences business

OptiBiotix Health, a York-based life sciences business developing compounds to tackle obesity, cardiovascular disease, diabetes and skincare, has raised £1,350,500.

This was mostly through the issue of 6,752,500 new ordinary shares of two pence each in the company at a price of 20 pence per share.

The fundraise was handled by Peterhouse Capital Ltd and also includes a subscription for 125,000 new ordinary shares at the issue price, raising gross proceeds of £25,000, by Graham Myers, a director of the company.

Myers will be interested in 125,000 ordinary shares in the business, representing 0.13 per cent of the firm’s issued share capital following admission.

Net proceeds of the fundraise will be used to invest in driving sales growth.

Stephen O’Hara, CEO, said: “The company has made strong progress over the last 12 months with our first-generation products returning to sales growth, a number of well-known corporate partners reaching agreements (e.g. Tata, Brenntag, Morepen) and the launch of new products with major brands (MuscleTech, Dr Morepen) in new channels.

“We are also seeing growth of online sales, particularly in China, and the potential to replicate this success in other territories, such as India and the USA.

“More recently we have seen strong interest in SlimBiome from partners in the USA looking for a natural, clinically proven alternative to the anti-obesity drugs currently available.

“Given the scale of the opportunities, the Board has decided to raise additional capital to capitalise on these growth opportunities and build shareholder value.”