Private equity fund manager Calculus Capital has backed Glasgow-based life sciences firm Collagen Solutions, which is looking to build itself into a £100 million company in the next five years.
The finance house, whose other investments including Edinburgh-based financial software group Money Dashboard, took part in Collagen’s recent £6m fundraising that has enabled it to purchase New Zealand business Southern Light Biomaterials.
Collagen Solutions, with a current market capitalisation of around £6m on the Alternative Investment Market, develops and manufactures medical-grade collagen components used in regenerative medicine, medical devices and diagnostic products.
In a separate announcement yesterday, the company said it had signed an agreement with Netherlands-based Kyeron Medical Innovations to develop and supply collagen powder for the manufacture of a wound management product.
Stewart White, chief executive of Collagen, said: “Calculus is well known to members of the team at Collagen Solutions and we are pleased to welcome them as an investor as we embark on the next stage of our growth. This represents a very significant step in completing the strategic aim of having a market capitalisation for the company of £100m by 2020.”
Rick Jones, investment director at London-headquartered Calculus, said: “Calculus has a long track record in healthcare and we are delighted to back Stewart and the team at Collagen Solutions. The company has a strong position in a high growth market and we are pleased to support it in the important work that it does.”
White said the agreement with Kyeron was an “excellent example of how we bring together our development capability and world-recognised expertise in the manufacture of medical grade collagen products”.
“We are pleased to see that Kyeron has the confidence in our capabilities to satisfy their commercial needs as demand for their products grow.” Shares in Collagen Solutions closed up 0.62p at 9.75p.
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