Sweden-based Metabogen, a metagenomics research spinout of Gothenburg University, secured the remaining SKr4m ($400,000) of a SKr12m investment from healthcare company BioGaia on Wednesday.
Metagenomics is the study of genetic material found in an environmental sample.
BioGaia announced the SKr12m deal in 2014 and said it would release the funds over two years subject to MetaboGen meeting undisclosed targets, starting with an initial injection of SKr4m.
The second SKr4m tranche was released in December 2015, and as Metabogen has since met the remaining targets, the rest of the capital has been invested, which means BioGaia now owns 36% of MetaboGen.
Fredrik Bäckhed at Gothenburg University and Jens Nielsen at Chalmers Technology University, the two professors partnered Gothenburg’s tech transfer office GU Holding to set up the company in 2011. Metabogen analyses the genetic material found in parts of the body that host microbes, such as the human gut.
Metabogen searches for previously unknown microbes – microorganisms that can cause disease – in order to help pharmaceutical and probiotics companies develop new treatments and products. Probiotics contain live microorganisms that yield health benefits when consumed.
BioGaia, a healthcare company that makes probiotics, is collaborating with Metabogen and using its technology to develop more advanced products.
As part of the deal Peter Rothschild, BioGaia’s founder and president, joined Metabogen in 2014 as chairman of the board.
Sara Malcus, former business development manager at GU Holding, served as chief executive at MetaboGen from 2011 until 2014, and rejoined the company as CEO in January 2015, according to her LinkedIn profile.
