Gary Paykel-backed NZ biotech launches capital raise; Ords on ticket
New Zealand-based biotech Auckland BioSciences is in the market seeking to raise $NZ10 million ($9.2 million) from high net-worth-investors.
Auckland BioSciences sources its serum from cows, sheet and pigs. Getty
The private company was founded by Dr John Chang, who has a PhD in infectious diseases from the University of Sydney, in 2014. It has the backing of former Fisher & Paykel chairman Gary Paykel, who serves as the company’s chairman.
Its primary product line takes blood from cows, sheep and pigs and converts it into serum. This is used by buyers for vaccine production – for humans and animals – research and development and medical research.
Auckland BioSciences completed a $NZ6.5 million ($6 million) capital raise in 2021. This time round, it’s looking to broaden its register, bringing on wealthy New Zealand investors. Chang owns around 70 per cent of the business and has called in Ord Minnett to round up bids.
A term sheet seen by Street Talk said Auckland BioSciences made $NZ43.6 million ($40.1 million) revenue and $NZ3.3 million ($3 million) EBITDA in financial year 2023. It’s forecast to deliver EBITDA of $NZ5.1 million ($4.7 million) this financial year.
Proceeds will be used to grow the business, looking to product innovation, acquisition opportunities and expanding its global footprint to the Chinese market. The company snapped up Australian rival CellSera in September 2021.
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