Nottingham,-based BioTech firm Locate Bio has closed a £2.25m funding round.
The firm is developing treatments for serious spinal conditions, and will use the new capital to bring its first products to market and continue research.
The round, which brings the total raised by the company to over £8m, was led by Mercia Asset Management which first invested in the firm in 2018.
The University of Nottingham spin-out is based on the research of Professor Kevin Shakesheff, an expert in regenerative medicine.
Its first product, currently at pre-clinical stage, is designed for patients who require spinal fusion surgery. It uses a type of bone protein to remove the need for a bone graft.
Its second therapy will be for the biological renewal of the intervertebral discs and will help those suffering from degenerative disc disease, a painful condition affecting 33 million people in the US and EU.
John von Benecke, CEO of Locate, said: “I am delighted by the continued support of our lead investor. This investment will allow us to maintain the excellent progress with our lead product and further the development of a pipeline of synergistic products.”
Peter Dines, Chief Operating Officer of Mercia, added: “We are very pleased to continue to support John and the team at Locate. Their lead product has the potential to disrupt a $3bn market, and we remain excited by the prospect of helping to build a world-leading business.”