NU/1246 - 8 (2) AELIUS BIOTECH Commercialisation of university research through provision of management skills to assist in successful spin-out company creation

Professor Jeff Pearson and Dr Peter Chater, of Newcastle University, have developed an innovative in vitro model gut system which is currently offered as a research service through the university. The system is the first of its kind capable of integrating a cell culture system with a physiologically accurate mucus layer and whole digestive secretions including bile and digestive enzymes, and has been described as the 'holy grail' of research into oral pharmaceuticals. This system has been used in numerous academic and commercial projects, correctly predicting the outcome of a human ileostomy study and providing contract research services to customers such as Oxford Pharmascience, Suntory Lucozade Ribena, Croda and Capsugel. The proposal is to set up a company 'Aelius Biotech' as a contract research organisation to scale up the service provision and provide improved in vitro testing to the pharmaceutical and functional food markets. The initial brief of the executive will be to: (a) Produce a viable business plan; (b) Obtain university approval for the venture; (c) Act for the company in the spin-out legal process and address all company formation matters; (d) Negotiate and deliver a funding package, in accordance with the business plan, to finance the growth of the business.