Northern Gritstone invests £5 million into Phagenesis

Northern Gritstone is part of Phagenesis’ $42 million Series D all-equity financing round

Northern Gritstone has made a £5 million Series D investment into Phagenesis, a medical device company specialising in the treatment of swallowing disorders.

The $42 million Series D funding round was led by EQT Life Sciences and co-led by Sectoral, with new investors Northern Gritstone, British Patient Capital and Aphelion.

Phagenesis has developed cutting-edge therapy, Phagenyx® a neurostimulation system that targets and restores the neurological components of swallowing coordination and control that are disrupted due to brain injury (including stroke) or because of prolonged mechanical ventilation.

With the recent approval of Phagenyx® by the FDA in the United States, the investment is primarily intended to support commercialisation in the United States and deepen commercialisation in Europe. It will also support clinical trials, regulatory activities, as well as research and development of pipeline products.

Northern Gritstone CEO, Duncan Johnson, said: “We are very pleased to be investing in Phagenesis. Bringing relief to patients with neurological dysphagia is a much-needed scientific advance. With IP originally from the University of Manchester, Phagenesis is an example of a great team building on the amazing science and technology that comes from the North of England exemplifying Northern Gritstone’s ‘profit with purpose’ philosophy.” 

Phagenesis CEO, Reinhard Krickl, said: “This investment from a highly experienced international investor syndicate will accelerate access to and adoption of our therapy. We will invest in exceptional talent to scale up our customer outreach and to support passionate clinicians who want to bring our therapy to those who need it. Our novel and proven therapy can help the millions of patients every year who suffer from swallowing disorders.”