Jellagen Pty Ltd completes £550,000 equity investment from Finance Wales, xénos and SWAIN to produce and commercialise medical grade jellyfish collagen and products.
Jellagen Pty Ltd, a new medical-technology and healthcare
company announces the completion of a £550,000 equity investment
led by Finance Wales with co-investment by members of xénos,
the Wales Business Angel Network and SWAIN.
Jellagen aims to be the world’s first provider of pharma grade,
GMP and ISO certified Type I and Type II jellyfish collagen as a
raw material. Jellagen was founded in May 2013 by 2 highly
experienced entrepreneurs Alex Mühlhölzl and Andrew Mearns
The company offers the full spectrum of jellyfish derived
collagen proteins, mainly Type I – Type V, with others available,
as well as a range of additional products in development for derma
care and medical device applications. Collagen is used in the
manufacture of biomaterials due to its ability to form strong
fibres and used in many forms, including gel scaffolds, and
membranes, for a number of medical applications ranging from wound
care and cartilage repair through to bone grafts.
Jellagen operates from a processing facility in Pembrokeshire,
Wales with its medical grade product being produced by its
strategic partner Collagen Solutions Plc, Glasgow.
Jellagen will use the new financing to expand its processing
capacity as well as developing a range of collagen based med-tech
products. The company will also use the financing to strengthen its
business development activities and get products to market.
Alex Mühlhölzl the Company’s Founder and Chief Technology
Officer said: “We are really pleased to have secured investment
from Finance Wales, a syndicate of private investors from xénos and
a member of the SWAIN business angel network. These funds will be
used to expand and improve our processing facility as well as some
product development and collaborative research projects”
Andrew Mearns Spragg, the Company’s Co-Founder & Chief
Executive Officer added “We welcome the investment from Finance
Wales, the xénos syndicate, and SWAIN and also the continued
partnership with Collagen Solutions Plc. The investment and
partnership provide Jellagen with a great strategic opportunity for
the marketing and development of novel GMP medical grade collagen
products from a natural and sustainable biomaterial resource.”
As it expands its headquarters in Pembrokeshire, Jellagen plans
to recruit up to four new staff over the next two years through its
links with Cardiff and Swansea universities.
The funding package includes a six-figure equity investment from
Finance Wales structured by Dr Melanie Goward, Deputy Fund Manager
in Finance Wales Technology Venture Investments team. She added,
“Alex and Andrew have come up with a novel approach to developing
medical grade collagen which has significant potential in a range
of applications, including improving bone grafts. They also
have some exciting plans to develop an innovative range of products
in future. Finance Wales is pleased to lead this investment
round as it will now enable Jellagen to take some significant steps
“With the backing of this investment Alex and Andrew can now
start to turn their vision for Jellagen into reality. We’ve
also structured the investment so that it’s SEIS-compliant and
provides the company with the flexibility to grow. We were
delighted to work with the angel investors as they’ll bring
additional expertise to the business.”
The syndicate of six business angels which invested in Jellagen
was facilitated by xénos, the Wales business angel network.
xénos Manager, David Maas said: “xénos was pleased to work
with Alex and Andrew to understand their funding requirements and
co-ordinate this syndicated round. Jellagen has a great deal
of potential thanks to its innovative products and the wide range
of applications they can be used particularly in critical
parts of the healthcare sector.
“A syndicate of six experienced angel investors has backed
Jellagen in the initial SEIS round and Alex and Andrew can also
benefit from their expertise and experience in addition to their
investment. Some of the angel investors also benefitted
from the Seed Enterprise Investment Scheme (SEIS) which offers
investors significant tax incentives from investments in exciting
early-stage technology ventures like Jellagen.”
The Company was initially funded through internal investment and
a SMART Scotland award which was used for a technical and
commercial feasibility project.