Challenge

A research group at a leading research-intensive university had developed a qPCR diagnostic/ prognostic platform for patient stratification in autoimmune diseases which they believed could be the basis of a viable spin-out business. A number of prospective VC investors were interested in the project but needed to understand the detailed business model before committing to any investment. Alacrita was engaged to advise on the most appropriate way to commercialize this technology and, if a spin-out were appropriate, to work up a viable investment-ready business case.

Solution

Alacrita first confirmed the value proposition and determine the scale of the commercial opportunity for a prognostic biomarker for relapse risk in prospective autoimmune indications, and evaluated the competitive landscape and existing competing technologies, both marketed and developmental. We then developed and evaluated options for the commercialization strategy and business model and confirmed that a spin-out option, as a contract lab, was indeed viable. We then developed a written investment-ready business case for a spin-out to exploit the technology platform, describing the opportunity, business model, development strategy and plans, costings and timelines, based on our experience and appropriate industry-standard metrics, and outline financial projections. We also introduced the academic team to a prospective diagnostic lab partner, enabling a rapid start to the business.