Innovative Company Set To Grow Its Portfolio Of Global Pharmaceutical And Biotech Clients
Corporate lawyers at Irwin Mitchell have advised Manchester-based Praetura Ventures on its latest investment in Reacta Biotech.
Reacta Biotech produces clinical diagnostics kits for food allergy testing. The business improves the efficiency, accuracy and safety of food allergy testing by producing pharmaceutical grade Oral Food Challenges (OFCs) - the gold standard test for diagnosing food allergies.
In the latest funding round, £1.5m came from Praetura Ventures with the Development Bank of Wales investing a further £1m in equity funding. Other investors include venture capitalist Jon Moulton’s family office, Perscitus and the Reacta management team.
The business will use the funding to scale up the manufacture of its current product range including peanut, egg and milk OFCs and to extend its product portfolio. It will also expand its team of specialists and expedite work on enhanced packaging solutions. These activities will support the company in growing its portfolio of global pharmaceutical and biotech clients.
Dr Andy Round, investment director at Praetura Ventures has added: “It’s great to be backing a business which is on track to have a significant and positive impact on society as well as returning significant funds for our investors. We look forward to supporting the team on the clinical contacts and customer side, as well as working with them on the strategy and marketing.”
Expert Opinion“Millions of people across the world have a food allergy and is vital that innovative businesses such as Reacta Biotech are able to keep making positive strides in the area of diagnostics for food allergy testing. I was delighted to advise Praetura Ventures on this investment and look forward to seeing Reacta develop its product range and add to its client base.” Victoria Zivkovic - Partner
Dr Paul Abrahams, Chief Executive Officer of Reacta, said: “It’s been a landmark year for Reacta, and we continue to go from strength-to-strength as a business, developing new diagnostic products and expanding our capabilities. The number of people experiencing food allergies is increasing, so it’s vital that technologies to accurately and safely test for allergies are developed. We’re committed to providing excellence in the development of a suite of OFC products, and revolutionising the way food allergies are diagnosed worldwide”.
The transaction was brokered by Reacta’s long-term advisers, Acceleris Capital.