Microbiotica raises £36m in Series C financing

Portfolio company Microbiotica raises £36m in Series C financing to advance pipeline into Phase 2 clinical development

IP Group plc ("IP Group" or the "Group") (LSE: IPO), which invests in breakthrough science and technology companies with the potential to create a better future for all, is pleased to note that portfolio company Microbiotica Ltd ("Microbiotica" or "the Company") has closed a £36m Series C financing.

Microbiotica, a clinical-stage biopharma company developing a pipeline of orally-dosed, precision microbiome medicines, noted the capital will support the advancement of MB310 into Phase 2 clinical development in ulcerative colitis. This follows positive results from the COMPOSER-1 Phase 1b study, which met its primary and secondary endpoints and demonstrated statistically significant improvements in clinical remission versus placebo.

IP Group invested £4m in the financing round, which was led by British Business Bank with participation from other existing investors Tencent, Cambridge Innovation Capital, Flerie Invest and Seventure Partners. Following second completion, IP Group will have an undiluted beneficial holding of 16.4% in Microbiotica, valued at £24.1m.

Greg Smith, Chief Executive of IP Group, said: "Microbiotica has made exciting progress in translating world-class microbiome science into potential new medicines for patients. The positive results from MB310 provide a strong foundation for its next stage of development, and we are pleased to increase our investment alongside a high-quality syndicate of investors. We look forward to supporting the team as it takes this highly innovative approach forward."

About Microbiotica

Microbiotica is a private, clinical-stage, biopharma company developing oral precision microbiome medicines called live biotherapeutic products (LBPs). Its lead programme, MB310, is being developed for ulcerative colitis and has demonstrated promising clinical activity and a favourable safety profile in a Phase 1b study. Microbiotica is also advancing a pipeline of immuno-oncology programmes, including MB097 in combination with KEYTRUDA® (pembrolizumab) for advanced melanoma, which has met its trial endpoints and is progressing through a Phase 1b extension phase.

Microbiotica's proprietary, genomics-driven microbiome profiling platform enables precision identification of bacteria associated with favourable clinical trial outcomes in specific patient populations. This clinical-data led approach informs the selection of bacterial strains for therapeutic development with the potential to improve the likelihood of clinical success.

Spun out of the Wellcome Sanger Institute in 2016, the Company is based in purpose-built facilities at the Chesterford Research Park near Cambridge, UK. Microbiotica is backed by British Business Bank, Cambridge Innovation Capital, Flerie Invest, IP Group plc, Seventure Partners and Tencent. The Company has also received financial support from the US-based Crohn's and Colitis Foundation.

For more information, please visit www.microbiotica.com.