GEL Tech, a subsidiary of diversified conglomerate Goddard Enterprises, has led $12m in convertible note financing for Canada-based biomaterials producer Mirexus Biotechnologies.
GEL was joined in the investment syndicate by backers including members of angel investor network GreenSky President’s Club.
Founded as a spinout of Guelph University, Mirexus has developed a corn-based, non-toxic substance called PhytoSpherix that is used in cosmetics and moisturisers.
The capital will support construction of a dedicated factory in Ontario, Canada, to produce PhytoSpherix, and will also be used to fund Mirexus’ operations over the next three years.
Goddard previously contributed $3.5m to a $4.5m series A round for Mirexus in 2015 that included chemicals producer Asahi Kasei, members of GreenSky President’s Club, which invested through The GreenSky Accelerator Fund, and unnamed existing shareholders.
GreenSky had previously supplied $350,000 of seed finance for the company in 2014.
Phil Whiting, president and chief executive of Mirexus, said: “As revenue grows, we believe the best path forward is to produce PhytoSpherix in our own factory here in Ontario – for sale around the world.
“This will allow us to produce high quality material under exacting manufacturing standards as we meet the needs of our growing customer base.”