Australian biopharma manufacturer GEN1 Biotechnology Pty Ltd has completed a $6.3 million (A$8 million) funding round and is now looking to launch a new pharma factory in its home base in Adelaide.
It raised the round from Australian private equity investors, local banks, and the South Australian Government’s Health Industries Fund.
This latest round comes after the company set up its initial operations in Adelaide. Gen1 will raise a total of $126 million over the next three years.
Gen1 is building Australia’s first large-scale pharmaceutical factory manufacturing high-value injectable biopharmaceuticals for the domestic and international markets.
Medications will include treatment for chronic conditions such as cancer, hypertension and diabetes.
According to IMS Health, the market for injectable medication in Australia is larger than $7.9 billion (A$10 billion) a year with an estimated growth of 15 to 20 per cent a year.
Health Industries South Australia is an agency of the South Australian Government, which helps health and life sciences companies to locate and grow in Adelaide.
The agency attracted Gen1 to Adelaide by helping the company to establish and secure a government partnership, including a grant from the Health Industries Fund.
Gen1 claimed it has the potential to save South Australia up to $70 million a year in medication spending.
Gen1 raised its initial funding from Asian and European investors.