SPARK managed funds invest in series 'B' funding for Gemini Biomedical
SPARK Ventures, the leading early-stage venture capital company, announced today that it has led, on behalf of its managed funds, a £1.4 million series B funding round in Gemini Biomedical Ltd. (“Gemini”), a specialist healthcare company. SPARK is investing a total of £700,000 alongside Gemini’s existing investors, Alliance Fund Managers (AFM), which has invested £700,000 through its MSIF Liverpool Seed Fund. It is the second time AFM has backed Gemini having previously invested £250,000 in the company in 2006.
Founded in June 2004, Gemini Biomedical is a specialist healthcare screening company which provides non-invasive medical screening services to, amongst others, life insurance and underwriters. Every year, there are around 4 million applicants for life and health insurance in the UK and insurers spend more than £100 million a year obtaining medical evidence and underwriting around 30% of these cases.
Gemini’s HealthTrack software enables a comprehensive health screening service, which is provided through a network of pharmacies contracted to Gemini. The pharmacies perform a health screening of the applicant and take non-invasive samples, which are then analysed by Gemini’s in-house laboratory. All the data is recorded in HealthTrack, Gemini’s innovative software, which is tailored to meet the specific needs of each life company.
By using HealthTrack, life companies are able to assess more accurately the actuarial risks and give speedier, more accurate quotations to the applicant. This in turn significantly increases the take-up rate, enabling them to sign up more business at less risk. In pilot trials, the convenience of using pharmacy examination rooms, coupled with in-house analysis and data capture in HealthTrack, was shown to halve the time taken to assemble comprehensive health screening data packages.
Gemini has already achieved proof of concept via successful pilot trials with major insurance companies and a number of other trials are currently underway. Gemini’s HealthTrack screening service is being delivered through several pharmacy groups, including Lloyds and Co-Op. The service is already available in around 60 pharmacies across the UK and the roll-out of pharmacy examination rooms is expected to increase significantly in the coming months.
Jonathan Gee, Head of Healthcare at SPARK Ventures, said:
“Healthcare screening is a market trend which is seeing unprecedented growth and we regard Gemini as being at the forefront of developments in the sector. The addition of a strengthened management team, which brings a range of sector-specific experience, as well as significant and proven operational expertise, will also be instrumental in ensuring that the company is well positioned for future growth. We look forward to working with the company and helping management to implement its ambitious growth strategy.”
Darren Gowling, Investment Director at Alliance Fund Managers, added:
“We have seen the company make significant progress over the past few years and this latest funding is an important endorsement both of Gemini’s business model and of the company’s future potential. We are pleased to be investing a further round of funding in Gemini alongside SPARK Ventures who bring important operational and strategic expertise that will be invaluable to the company through the next stage in its development.”
Ends
For further information, please contact:
Dr. Penny Attridge, SPARK Ventures, 020 7851 7777
Annabel O’Connor / Wendy Svirakova, Capital MS&L, 020 7307 5330
Notes to editors:
About SPARK Ventures
SPARK Ventures is a leading venture capital investor providing equity investment to high growth technology, media and healthcare companies in the UK and Europe.
SPARK Ventures manages approximately £240 million across several investment vehicles including: three Venture Capital Trusts (VCTs); University Funds on behalf of leading UK universities including Oxford; and a Limited Partnership on behalf of major institutional investors. SPARK Ventures plc also invests capital from its own balance sheet.
SPARK Ventures has been investing in early-stage businesses for 12 years and has a wealth of expertise in backing and developing companies from start-up through to eventual trade sale or IPO. SPARK’s core expertise lies in identifying promising early-stage businesses and leading their funding right from the earliest stages.
SPARK Ventures’ team is one of the most experienced in the early-stage investment space. It brings its portfolio businesses the necessary capital, combined with strategic and operational management support as well as commercial and marketing expertise to help them succeed. Its founding management team has worked together for more than 10 years, and during that time has helped many entrepreneurs to realise their ambitions.
www.sparkventures.com
About Alliance Fund Managers
Alliance Fund Managers is the fund manager for Merseyside Special Investment Fund, the largest regional fund in the UK. We provide loans and equity packages from £3000-£4 million to businesses based in, or prepared to relocate to, Merseyside. In addition to funding we can also provide access to a range of business support services designed to help businesses develop and grow.
Almost all sectors are eligible and we can fund start-ups, expansions, MBOs, MBIs, acquisitions, mergers and rescue. AFM often works alongside other finance providers including banks, VCs and other institutions and can create a finance package to suit individual needs.
www.afm.uk.com