Liverpool Chirochem is looking to raise £550,000 on equity crowdfunding platform Syndicate Room to ramp up production and sales. The co-founder of the University of Liverpool spin-out, which won the 2015 Merseyside Innovation Awards, has told Insider that the business has already started to purchase specialist laboratory equipment and hire chemists to carry out production of its novel products. Liverpool Chirochem has submitted a pitch to Syndicate Room in which it is seeking £550,000 in return for giving away a 31 per cent stake in the business. The start-up, which was founded in 2014, has developed a manufacturing process for making exceptionally pure chemicals in three steps rather than the usual ten, delivering cost efficiencies and time efficiencies for the pharmaceutical R&D industries that rely on these chemicals. Deepbridge Advisers is leading the funding round. Liverpool Chirochem's offer on Syndicate Room will close on or before midnight on Sunday, 27 September 2015. According to the pitch, the funds will be used to produce a larger portfolio of Liverpool Chirochem's novel, specialist chemical products that will be sold to pharmaceutical R&D specialists worldwide. It added that ramping up production and sales would involve the hiring of staff, capital equipment, chemical ingredient costs, rental costs and general overheads including accountancy fees, legal fees, non-executive fees and patent costs. Co-founder Dr Paul Colbon, chief operating officer and director, is currently in California to promote the company. He explained that Liverpool Chirochem is using Syndicate Room in order to complete its first-round equity investment, of which the majority has already been secured. He added: "The company's plan has been carefully formulated over the last 18 months. Now that the investment is secured, we are putting the plan into action; we have already started to purchase the specialist laboratory equipment and hire PhD-trained chemists to carry out the chemical production of our novel products. "The feedback I have received when promoting the company has been excellent, and we now have several customers lined up ready to purchase our products once our initial catalogue has been produced in a couple of months' time." According to the pitch, there are two likely exit strategies for Liverpool Chirochem. The first is an acquisition by a major pharmaceutical company that has adopted its technologies and the second is an acquisition by an international chemical provider that wishes to expand its product portfolio. Liverpool Chirochem won the top prize at the Merseyside Innovation Awards in July 2015. Insider acted as media partner for the awards, which are open to individuals or companies with fewer than 50 employees to recognise and reward the use of innovation to boost growth and profitability.
Original Article: Liverpool Chirochem asks for £550k on Crowdfunding Platform