Hugh James advise Finance Wales on second round investment in Ocelus Ltd

Hugh James advise Finance Wales on second round investment in Ocelus Ltd

20 I 01 I 10

A company developing a needle-free drug delivery device has received close to £500,000 in second round investment and funding from Finance Wales and the Welsh Assembly Government.

Ocelus Ltd of Newport, South Wales, is developing a unique alternative to drug delivery treatment through needles for medical purposes. The technology has the potential to create substantial savings to drug companies and health services and reduce the discomfort to patients associated with conventional drug delivery methods.

The latest funding round includes £315,000 equity investment from Finance Wales and a £147,000 grant from the Welsh Assembly Government’s Single Investment Fund. It will allow the company to advance its prototypes and optimize the technology for commercialisation.

Led by Dr Andrew Kirby, a serial innovator in academia and start-up companies, Ocelus Ltd received an initial £50,000 equity investment from Finance Wales in 2008, along with a £50,000 grant from the Welsh Assembly Government.

The latest investment from Finance Wales, a provider of commercial funding to businesses in Wales, demonstrates the potential of the company and its technology, according to Jocelyn Brown, Associate at Finance Wales.

“Ocelus Ltd has progressed through the second stage of industrial research, successfully demonstrating the manufacturing techniques and undertaking the proof of concept trials in human skin,” said Brown.

“The company’s technology has attracted a great deal of interest internationally and our follow-on funding will allow it to progress to the next stage prior to commercialisation of a novel drug delivery system.”

Ieuan Wyn Jones, Minister for the Economy and Transport, said the Assembly Government was committed to providing the necessary support to help highly innovative companies develop new products and processes.

He commented: “Investment by companies in research and development is essential for the future growth of the economy which is why we are pleased to support and encourage companies like Ocelus Ltd to develop next generation products that have the potential to make a real difference to the lives of people around the world.”

The technology developed by Ocelus Ltd means certain drugs can be delivered without a needle by pushing them through the skin via hundreds of microscopic particles.

Taking drugs for hormone imbalances and diabetes, cancer pain and many other treatments, including vaccines, could potentially be made via the new delivery system which would reduce the pain and inconvenience of an injection.

Dr Kirby said: “The Ocelus Microimplant Delivery System has tremendous potential in the medical and pharmaceutical sector globally, and this latest round of funding demonstrates Finance Wales’ commitment to Ocelus Ltd and our technology.

“With this funding, we are able to continue development on our innovative system, and work with leading micro-engineering, and pharmaceutical formulation companies from around the world to produce optimized prototypes for testing in human skin. Ocelus is also working with Bang and Olufsen Medicom, a highly experienced medical device design company, to maximize functional performance and patient usability.

The company is about to move into new laboratory premises at Imperial House, Newport, as part of its expansion.

Greg Williams, Senior Associate at Hugh James Solicitors, said: "We are delighted to have advised Finance Wales on its equity investment in Ocelus. We were particularly pleased to be involved in this early stage investment into a life science company, which included considering complex intellectual property issues, given our considerable expertise in advising Finance Wales and others on a number of other transactions in this exciting sector."