Antibiotics developer Motif set for £16m London raising

 
Oliver Smith
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MOTIF Bio, a New York-based developer of antibiotics, will begin its investor roadshow this morning as the business prepares to raise between £4m and £16m on London’s Alternative Investment Market (Aim).

With an expected valuation of up to £60m Motif is hoping to drum up investor interest in Iclaprim, a potential new antibiotic moving into advanced clinical trials during the second half of the year which will likely take about 18 months, as well as several other drugs.

“Growing resistance to antibiotics has been described as a worldwide threat to health and several new antibiotics will be needed to stave off the impending crisis,” said Motif chief executive Graham Lumsden.

“Motif is developing Iclaprim, a novel antibiotic that kills bacteria in a different way to most other antibiotics.”

“We are excited by the opportunity to contribute potential solutions to the looming public health crisis and to share our progress with investors in the UK market,” added Lumsden.

Motif says it expects Iclaprim to be ready for commercialisation within 36 months.

The funds raised from the float will be used by Motif to advance the group’s drug development programme and provide additional working capital for the firm over the next 18 months.

Cairn Financial Advisers and Northland Capital Partners are working on the proposed listing, which is set to debut before 31 March.

Motif’s current owners are Amphion Innovations, the Aim-listed investor in life sciences, which currently holds 32.09 per cent of Motif’s shares.