Q Chip
Business profile
Location: South east Wales
Sector: Pharmaceuticals
Web site: www.q-chip.com
Investment
Total: £1 million over three investment
rounds
Co-investors: Fusion IP (first round), Curzon
Park Capital and business angels (second and third rounds)
Type: debt and equity
Executive: Richard
Thompson
Why we invested
Q Chip displays the key attributes Finance Wales looks for in
its early stage investments.
Q Chip developed a pioneering drug-delivery system. The
system can potentially provide lower cost, superior drug
treatment and Q Chip is targeting the pharmaceuticals market. The
unique technology was developed at Cardiff University and has
undergone a number of successful proof-of-concept trials.
Q Chip has a strong management team with a wealth of sector
experience.
Outcome
Finance Wales is a major investor in Q Chip. We first invested
in 2008 and have increased our stake in the company since
then.
Our early investment rounds enabled Q Chip to make technical
progress. Q Chip completed a number of successful clinical trials,
enabling it to identify new technology applications and protect its
IP. The company invested in focusing its product development.
Our later investments enabled Q Chip to focus on strengthening
its business model and increasing value for its share-holders. It
has developed sales channels and valuable
partnerships with other programmes, strengthened its
management team and restructured its board of directors.
Q Chip is an attractive offering for other investors and Finance
Wales has been at the heart of a number of high-value syndicates, investing in the company.
The latest investment round, totalling £2 million, included Curzon
Park Capital and business angels, Jon Moulton and Sir Harry
Solomon.
Testimonials
"Q Chip has a credible growth strategy which Finance Wales has
supported through its investments. In these challenging economic
times, our investors demonstrate confidence in Q Chip's
technology." Ken Powell, executive chairman, Q Chip.
"Our syndicated investment rounds have enabled Q-Chip to
achieve key value-adding milestones, making it a very attractive
offering to raise substantial investment." Dr Richard
Thompson, Early Stage Investments Manager, Finance Wales.
Advisers
IP: IP Pragmatics
Legal: Geldards