Other14 February 2024

Newcells Biotech raises £2.4m to expand its laboratory models and marketing activities.

The funding round was backed by Mercia Ventures, Northstar Ventures, and the North East Venture Fund.

£2.4MOther

Newcastle-based life sciences company developing laboratory models of human tissues for drug and chemical discovery. It was spun out from the University of Newcastle in 2015.

Newcells Biotech has secured £2.4m in funding to upgrade its imaging technology and scale up marketing operations. The investment round was supported by the North East Venture Fund, the European Regional Development Fund, Mercia Ventures, Mercia funds, and Northstar Ventures. The company plans to create 10 new jobs over the coming year as it expands its international footprint.

Operating from Newcastle, the company builds sophisticated 3D models of human tissues such as the retina, kidney, and lung. These systems allow pharmaceutical and biotechnology firms to assess drug efficacy and toxicity without relying on animal testing. Newcells currently employs 49 staff and counts over 100 international customers among its clientele.

From the founder

"The support from our investors has allowed us to grow the business to the point where we now work with over 100 customers internationally including large pharma and biotech companies. This latest investment will further enhance our technology and underpin our ability to continue our rapid growth."

Mike Nicholds

CEO at Newcells Biotech

Investor perspective

"By improving the models available to scientists, Newcells is not only helping pharma companies to avoid the use of animals but also to improve the efficiency of drug development and deliver new therapies to patients. The company is already recognised as a pioneer in its field and the latest funding will help it to establish itself as the market leader."

Alex Simpson

Mercia