Newcells Bags £1.2m for Lab Models Advancing Drug Development

Newcells Biotech, a Newcastle-based company specializing in laboratory models that reduce the need for animal testing, has secured an additional £1.2 million in funding from existing investors: Mercia Ventures, Northstar Ventures, and North East Finance. This new funding round brings their total investment to over £13 million and will be used to expand their customer base and forge partnerships to enhance their offerings. The company's 3D models, which simulate human tissues, aid in the drug development process, making it more efficient and cost-effective compared to traditional animal testing. The increased interest in Newcells' models follows the FDA's removal of mandatory animal testing requirements, highlighting their superior predictive capabilities regarding drug behavior in humans. Presented as a spin-out from the University of Newcastle, Newcells was founded by Dr. Mike Nicholds and Professor Lyle Armstrong in 2015 and now services pharmaceutical companies globally. As the company navigates through a challenging market affected by economic uncertainty, it continues to strengthen its position and reputation in the industry. Appointing Dr. Mark Carnegie-Brown as Chair, Newcells is positioned for growth, continuing to attract investor confidence and adapting successfully to changing industry norms.