By AltFi on 30th October 2013
Cell Guidance Systems, which provides products and services for stem cell scientists, has successfully raised £242,800 on the equity crowdfunding platform Crowdcube.
The Cambridge based company now has a total of 139 new shareholders who each own 12.5% of the equity in the business. The amount raised on Crowdcube has exceeded their original target by a massive 142% and taking the amount of money raised by the crowdfunding platform to more than £14.5 million.
Founded in 2010, the company makes cutting-edge research tools that simplify and accelerate the activities of scientists developing stem cell treatments and undertaking medical research.
Cell Guidance System’s founder, Dr Michael Jones, says: “Reaching our fundraising target will allow us to focus on our long term goals of building our R&D capabilities, IP and product portfolio as well as our reach to the market. Setting up the pitch took quite a lot of effort, but we received full support from Crowdcube and the response from Crowdcube investors was amazing. I'm happy that we chose this funding route.”
Cell Guidance Systems will use the investment to support its next stages of growth through increasing marketing, product development and product licensing activities and recruiting additional R&D staff.
Luke Lang, co-founder of Crowdcube, comments: “Cell Guidance System is targeting a fast-growing sector, and we’re excited by the success of its pitch on Crowdcube, which will allow it to take full advantage of the opportunity. Biosciences and stem cell research are a very complex industry and the successful funding clearly demonstrates Crowdcube investors’ growing sophistication and a real appetite for investing in innovative home-grown companies.”
Those investing in Cell Guidance Systems are eligible for the Enterprise Investment Scheme (EIS), which offers income tax relief of up to 30 per cent on the amount invested and no capital gains tax on disposal.