@ NC Biotech Center fuels startups with $1.6M in grants, loans | SEBIO

NC Biotech Center fuels startups with $1.6M in grants, loans

Posted by on Feb 26, 2014

RESEARCH TRIANGLE PARK, N.C. — The North Carolina Biotechnology Center awarded more than $1.6 million in the second quarter of the 2013-2014 fiscal year, while companies in its loan portfolio brought in more than $10 million in outside funding during the period.

NCBiotech approved 23 grants and loans in seven programs to institutions and organizations across the state during the quarter running from October through December, 2013. The awards program supports life science entrepreneurship, technology commercialization and growth, and lays the groundwork for major add-on funding.

Every dollar NCBiotech loans to young life science companies is met with $117 in additional funding to those firms from disease philanthropy and government grants, angel and venture investment and other financial support. Every grant dollar is met with $28 of additional funding.

Examples include:

  • G1 Therapeutics, which announced a $12.5 million Series A financing led by MedImmune Ventures, with Hatteras Venture Partners and Mountain Group Capital as co-investors. NCBiotech awarded the Chapel Hill firm a total of $500,000 in loans in 2011 and 2012 to which is developing molecules for use in cancer and biodefense applications.
  • Aerial BioPharma, which announced highly encouraging results from a Phase 2 clinical trial of its ADX-N05 in narcolepsy patients. Since then, in January 2014, Aerial sold the worldwide rights to ADX-N05, except in certain Asian countries, to Jazz Pharmaceuticals for $125 million upfront as well as future milestone payments and royalties. NCBiotech awarded a $250,000 Small Business Research Loan in 2012 to Aerial, a developer of drugs to treat central nervous system disorders. bioMASON, which won the Cradle to Cradle Product Innovation Challenge, its second major prize in 2013.
  • bioMASON was housed in temporary office space at NCBiotech and then was awarded NCBiotech’s $50,000 Company Inception in 2013. Since then, bioMASON also received $670,000 as the winner of the Postcode Lottery Green Challenge, a $150,000 federal SBIR grant and was the recipient of a large angel fund investment. bioMASON uses the tools of biotechnology, in this case a harmless bacterium, to develop a masonry material at room temperature that replaces traditional clay and concrete without the high energy consumption associated with standard manufacturing.
  • Novocor Medical Systems, which won the Early Stage Shootout at the SEBIO conference in Richmond, VA. NCBiotech awarded a $75,000 Small Business Research Loan to Novocor earlier in 2013. The company then was able to raise $961,000 in angel investments. Novocor is developing a system that enables paramedics to cool patients to improve outcomes after cardiac arrest, stroke or traumatic brain injury.
  • Nova Synthetix, which made the winning presentation at the Ag Biotech Entrepreneurial Showcase, thereby garnered a presentation spot at the February 26-27 CED Life Science Conference. NCBiotech awarded a $50,000 Company Inception Loan to the company earlier in 2013 to help lay the groundwork for its development of a non-toxic castor plant for enhanced production of castor oil, which is used as a high value chemical feedstock.

In 2014, NCBiotech observes its 30th anniversary as a global leader in life science job creation. The Center has been distributing grants and loans since soon after it was established in 1984, helping North Carolina become the nation’s third-largest life science cluster. There are now more than 600 life science facilities across in the state, employing more than 60,000 employees earning an average salary exceeding $78,000.

For further information regarding the loan, grant breakdown, please visit http://ow.ly/u1VqF

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