22OCT

British Business Bank leads Microbiotica's £36m Series C

1 min read

16:30UTC

The Cambridge microbiome company's first close puts its MB310 treatment on course for Phase 2 trials in ulcerative colitis.

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Key takeaway

Microbiotica's Series C is a rare round the British Business Bank led itself.

Microbiotica, a Cambridge microbiome company, said in mid-October that the British Business Bank led the first close of its £36m (about $48m) Series C⁠¹. A first close is the point at which a round banks its initial commitments while leaving room for more investors to join.

The company said the money takes its MB310 treatment into Phase 2 trials for ulcerative colitis, a chronic inflammatory disease of the large bowel. Leading is unusual for the Bank. In August it took a £3.5m slice of Certain Energy's Series A as one investor among several.

Deep Analysis

In plain English

Microbiotica is a Cambridge company working on medicines made from carefully chosen gut bacteria. The idea is that the right bacteria can calm the inflammation behind some bowel diseases. Its treatment, MB310, is aimed at ulcerative colitis, a long-term condition that inflames the lining of the large bowel. The company is raising £36m to test it in patients, and the government-owned British Business Bank led the first part of that money.

Deep Analysis

Root Causes

Microbiome treatments use defined mixes of gut bacteria, so they sit between conventional drugs and biological products. Few specialist investors understand how to value them, which leaves room for a state-owned lead investor at Series C.

A first close also matters. It lets the company start Phase 2 planning while it raises the rest, but the £36m figure is the target for the round, not money already banked in full.

What could happen next?

Precedent
The British Business Bank acting as lead investor gives a mid-sized Series C a priced anchor that later investors can follow.

Sources:Startupmag·Microbiotica (via BIA)

Mentions:Microbiotica →British Business Bank →MB310 →Cambridge →Certain Energy →

First Reported In

Update #16 · Stryker agrees option to buy CMR Surgical

Startupmag· 22 Oct 2026

Read original →

Different Perspectives

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EDBI

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Forbion

Forbion co-led OMass Therapeutics' $310m Series C with Bain Capital Life Sciences and Novo Holdings, while the British Business Bank and Syncona followed. The terms of the Oxford spinout's round were set by investors from three countries, none of them Britain.

British Business Bank

The Bank committed £180m to six AI funds on 15 October with no UK-deployment condition, yet led the first close of Microbiotica's £36m Series C. That lead, with Airtel Money choosing London for its £5.3bn debut, is the evidence that British money and markets still set some terms.

Stryker Corporation

Stryker called its roughly $400m CMR Surgical deal its entry into soft-tissue robotics, taking US sales rights for Versius, a board seat and an exclusive option over 100% of the company. The option lets Stryker choose whether and when a Cambridge robot maker becomes part of an American group.

Written with AI from Lowdown's published reporting. Not individually reviewed by an editor. Editorial standards.