+

Diaceutics raises a further £4m from Silicon Valley Bank to support global growth

  • Funding will support the Company’s increased working capital requirements due to international expansion and accelerated product development, including its DXRX platform
  • Diaceutics continues to go from strength to strength since its admission to the AIM market of the London Stock Exchange
  • Company achieved 30% increase in revenues and 52% growth in gross profit in its 2019 annual results

Belfast/Dundalk, 26 August 2020 – Diaceutics PLC, (AIM: DXRX), today announces that it has raised a further £4 million/€4.45 million in financing from Silicon Valley Bank’s UK Branch (SVB). This marks an increase from the last term agreed between the parties, when £2.5 million/€2.78 million was raised to support working capital needs during 2018-2019.

The funding will be used by Diaceutics (or the “Company”) over the next three years to provide additional working capital as the Company continues its global expansion and accelerates product development, such as its DXRX platform – the world’s first diagnostic network for precision medicine.

Developed by Diaceutics, DXRX will enable the Company to meet the need for a global standardised diagnostic process by offering an end-to-end solution for the development and commercialisation of precision medicine diagnostic testing. It will significantly enhance Diaceutics’ service offering and enable it to meet the increased market demand being created by 1,000 new precision medicines currently in pharmaceutical company pipelines.

Underpinned by Diaceutics′ database of more than 227 million patient records, the platform will enable the industry-wide collaboration required between pharmaceutical companies, laboratories and diagnostic companies to unlock the power of precision medicine and ensure every eligible patient gets the treatment they need, when they need it.

This news comes off the back of a very successful 18 months for Diaceutics. Since its admission to the Alternative Investment Market of the London Stock Exchange (AIM) in March 2019, the Company has gone from strength to strength. Its 2019 annual results saw a 30% increase in revenues to £13.4m/€14.9m, as well as gross profit growth of 52% to £1.3m/€1.4m.

Earlier this month, Diaceutics also signed a new contract with a global pharma company with an initial contract value of $1.27 million. Diaceutics will provide the client with an end-to-end diagnostic development and commercialisation service which will help the Company to ensure that everyone who should be tested for their new precision medicine therapies, is tested – and is tested efficiently.

Diaceutics announce further 4 million funding round from Silicon Valley Bank to support growth

Commenting on the renewed partnership with SVB, Philip White, Chief Financial Officer, Diaceutics, said: “Our research shows that currently half of patients are missing out on precision medicine drugs due to inefficiencies in the testing ecosystem. In addition, the average precision medicine drug is launched 4.5 years before its companion diagnostic test is readily available to the eligible patient population.

“We are actively working to reduce this lag time, driving testing standardisation through our services, enabled by our DXRX platform. The DXRX network, in which more than £20 million has already been invested, has the potential to completely transform the way key precision medicine stakeholders collaborate and to solve the problems facing the global precision testing ecosystem.

“We are delighted to secure this funding from SVB which will help to streamline the launch of precision medicine drugs by ensuring that laboratories are ready to accurately and efficiently test for each new drug on the day that it is launched. SVB has always been hugely supportive of our vision to make this a reality and help patients to benefit from better testing and better treatment. We look forward to seeing what the next three years hold, with their backing.”

Andrew Hunter, Managing Director, Silicon Valley Bank, said: “We are excited to continue our relationship with Diaceutics, and to further support their team’s next stage of growth. With a strong global client base, increased geographic expansion, and development of the DXRX platform, Diaceutics is very well placed within the rapidly evolving precision medicine market. Silicon Valley Bank is committed to working with innovative companies in Ireland and we look forward to partnering with Diaceutics as they further build on this market leading position.”

Andrew Hunter, Managing Director, Silicon Valley Bank said:

“We are excited to continue our relationship with Diaceutics, and to further support their team’s next stage of growth. With a strong global client base, increased geographic expansion, and development of the DXRX platform, Diaceutics is very well placed within the rapidly evolving precision medicine market. Silicon Valley Bank is committed to working with innovative companies in Ireland and we look forward to partnering with Diaceutics as they further build on this market leading position.”

Media Contact
Helen Morrogh
Tel: +353 1 215 7675
Email: helen@comit.ie
For more information, visit www.diaceutics.com or follow Diaceutics on Twitter, LinkedIn or Facebook

About Diaceutics

At Diaceutics we believe that every patient should get the precision medicine they deserve. We are a data analytics and end-to-end services provider enabled by DXRX - the world’s first Network solution for the development and commercialisation of precision medicine diagnostics. The Group, listed on the AIM Market of the London Stock Exchange, has created commercially useful data sets for every precision medicine that has come to market. We have built the world’s largest repository of diagnostic testing data with a growing network of 2500 labs in 51 countries.  www.diaceutics.com

About Silicon Valley Bank

For more than 35 years, Silicon Valley Bank (SVB) has helped innovative businesses and their investors move bold ideas forward, fast. SVB provides a range of financial services and targeted expertise to companies of all sizes in innovation centres around the world, including the UK. With commercial and international banking services, SVB helps address the unique needs of innovators. Learn more at svb.com/uk

© 2020 SVB Financial Group. All rights reserved. SVB, SVB FINANCIAL GROUP, SILICON VALLEY BANK, MAKE NEXT HAPPEN NOW and the chevron device are trademarks of SVB Financial Group, used under license. Silicon Valley Bank is registered in England and Wales at Alphabeta, 14-18 Finsbury Square, London EC2A 1BR, UK under No. FC029579. Silicon Valley Bank is authorised and regulated by the California Department of Business Oversight and the United States Federal Reserve Bank; authorised by the Prudential Regulation Authority with number 577295; and subject to regulation by the Financial Conduct Authority and limited regulation by the Prudential Regulation Authority. Details about the extent of our regulation by the Prudential Regulation Authority are available from us on request.

Silicon Valley Bank is a subsidiary of SVB Financial Group, a Delaware corporation. SVB Financial Group and its subsidiary Silicon Valley Bank are members of the Federal Reserve System and Silicon Valley Bank is a member of the FDIC.

Silicon Valley Bank and SVB Financial Group UK Limited are not licensed in Ireland to undertake banking business in Ireland or to undertake any other regulated activity in Ireland. SVB Financial Group UK Ltd is registered in England and Wales at Alphabeta, 14-18 Finsbury Square, London EC2A 1BR, UK under No. 5572575 and is authorised and regulated by the Financial Conduct Authority, with reference number 446159.

© 2020 SVB Financial Group. All rights reserved. SVB, SVB FINANCIAL GROUP, SILICON VALLEY BANK, MAKE NEXT HAPPEN NOW and the chevron device are trademarks of SVB Financial Group, used under license."

Latest Blogs

Latest Blogs