FundraiseOct 16, 2026, 06:47 UTC

Microbiotica raises £36M to push gut-drug into mid-stage trials

What's the deal? UK biopharma company Microbiotica has closed a £36 million Series C round led by the British Business Bank. Existing investors Tencent, Cambridge Innovation Capital, Flerie Invest, Seventure Partners, and IP Group also took part.

Why now? The raise follows positive results from the COMPOSER-1 Phase 1b study of Microbiotica's lead candidate, MB310. The trial met its primary and secondary endpoints, showing statistically significant improvements in clinical remission versus placebo.

What's the endgame? Microbiotica develops orally dosed precision microbiome medicines known as live biotherapeutic products. The new capital will advance MB310 into Phase 2 clinical development for ulcerative colitis.

By the numbers: IP Group invested £4 million in the round. After the deal, it will hold an undiluted 16.4% stake in Microbiotica, valued at £24.1 million.

Greg Smith, chief executive of IP Group, said the company has made progress "in translating world-class microbiome science into potential new medicines for patients." He added that the MB310 results "provide a strong foundation for its next stage of development."

The signal: At £36 million, the round sits near the top tier of its peer group by size, underscoring investor appetite for microbiome therapeutics with clinical data behind them. For a sector that has struggled to convert biology into approved drugs, mid-stage progress is the test that matters.