Oxford Nanopore, the UK-based DNA sequencing technology spinout of University of Oxford, pocketed £195m ($270m) in equity financing today from investors including commercialisation firm IP Group.
Imaging technology producer Nikon, Temasek, Wellington Management and M&G Investment took part in the round, providing $174m, while unnamed, existing backers also contributed capital.
IP Group committed £26m, its full pre-emptive allocation, and now owns a 14.5% undiluted stake in Oxford Nanopore. The spinout is now valued at $3.4bn.
Founded in 2005, Oxford Nanopore has developed a DNA and RNA sequencing technology that provides real-time analytics. The technology is fully scalable from hand-held devices for use in the field through to benchtop products and population-scale platforms.
The spinout is seeking an initial public offering on the London Stock Exchange in the second half of the year and reportedly hired book-running managers last month.
Amadeus Capital Partners purchased $24m worth of shares in a secondary transaction in February this year, reportedly valuing the company at $2.4bn.
Oxford Nanopore previously obtained approximately $800m in funding. It secured $108m in funding in October 2020 from RPMI Railpen and a range of new and existing shareholders of which only diversified holding group International Holdings Company was identified.
The spinout closed a $98.1m round in May 2020, when internet group Tencent reportedly participated.
Pharmaceutical firm Amgen, genomics technology provider Illumina and financial services firm China Construction Bank are also among the company’s backers, as are GIC, GT Healthcare, Hostplus, Invesco Perpetual, Lansdowne Partners, Odey Asset Management and Top Technology Ventures.
Oxford Nanopore’s shareholders additionally include WCM Partners Healthcare, the recently launched Cayman Islands-based fund managed by Neil Woodford. He had owned shares through the since-collapsed Woodford Investment Management but it is unclear how WCM acquired the stake in Oxford Nanopore.
