CellFactors is a company that aims to raise up to £3.5m through an enterprise investment scheme (EIS) for its human cell therapy projects.
The company says degenerate and dying cells cause conditions such as Parkinson's disease, diabetes, cancer and heart disease. Human cell therapy can cure these problems through implanted cells, which can also help to repair broken bones.
The money raised by the EIS will be used for the commercial development of Skeletex, the company's bone repair product which uses cartilage cells. Five orthopaedic companies are negotiating with CellFactors to license the product or help with its development.
The money will also be used to fund the expansion of NeuCell, a cell library which characterises human cells for the pharmaceutical industry and to help the company develop its cure for Parkinson's disease.
The limited supply of foetal cells and the inability to control cells once they have been implanted into the body have hindered the progress of cell therapy in terms of marketing and regulation. But CellFactors believes it can overcome these issues by using a gene to create an unlimited supply of cells. The use of the gene, which is active only in laboratory conditions, also allows doctors to control the cells once they are implanted inside the body.
As an investment, this EIS is high risk as it invests in early stage medical advancements and further fundraising may be needed to get to the clinical trial stage. Following that, regulatory approval will be required. The prospectus says CellFactors is currently a loss-making company and this could mean investors may face a long wait to get a return on their investment, if any at all.