Microbiotica's $45M Raise: A Gut Check for IBD Treatment

Jan de Vries · 2026-10-16

Microbiotica, a British biopharma company, just announced the first close of a €42 million ($45 million) Series C round. That's a hefty sum for a company developing precision microbiome medicines. But what does it mean for the future of inflammatory bowel disease (IBD) treatment? ### The Financing Round The round was led by British Business Bank, with participation from Tencent, IP Group, Cambridge Innovation Capital, Flerie Invest, and Seventure Partners. All existing Series B investors joined in, signaling strong confidence in Microbiotica's approach. Tim Sharpington, CEO of Microbiotica, said: "This financing marks an important next stage for Microbiotica and reflects the significant progress we have made in translating our powerful genomics-driven microbiome platform into clinical-stage products, alongside developing a scalable and cost-effective manufacturing process." ### A Promising Treatment for Ulcerative Colitis The funds will primarily push MB310, Microbiotica's lead candidate, into Phase 2 clinical trials for ulcerative colitis. In a Phase 1b study, MB310 produced statistically significant clinical remission with no safety issues—a result that has investors buzzing. Carmine Circelli, Senior Investment Director at British Business Bank, added: "We believe Microbiotica is emerging as a world leader in the development of microbiome therapeutics. Its Phase 1b study in ulcerative colitis produced statistically significant clinical remission, best in disease potential with no safety issues. This funding allows the Company to move MB310 forward into a Phase 2 trial which, if it confirms the promise seen in Phase 1b, has the potential to be a major breakthrough in the treatment of ulcerative colitis." ### The Microbiome Platform Founded in 2016 as a spin-out from the Wellcome Sanger Institute, Microbiotica has built a genomics-driven microbiome platform. It combines a diverse culture collection, a proprietary human Reference Genome Database, advanced bioinformatics, and machine learning. By analyzing clinical trial data, the platform identifies bacteria linked to positive outcomes in specific patient groups. This approach has attracted partnerships with major players like MSD, Cancer Research UK, Genentech, and the University of Adelaide. ### A Surge in European Biotech Investments Microbiotica's raise is part of a broader wave of biotech investments in Europe. In 2026 alone: - Germany's mbiomics secured an additional €12 million ($13 million), bringing its Series A to €30 million ($32 million). - UK-based OutPost Bio raised €2.9 million ($3.1 million) to expand its human microbiology modelling platform. - France's Bionyra Pharma secured €143 million ($154 million) for inflammatory disease treatments, including IBD. - Paris-based Generare raised €20 million ($21.5 million) for microbial-genome-based drug discovery. - London's Alchemab Therapeutics received €29.3 million ($31.5 million) from British Business Bank to advance its clinical pipeline. Together, these deals represent roughly €207.2 million ($223 million) in new financing, or €249.2 million ($268 million) including Microbiotica's round. > "We have been very impressed by Microbiotica's progress since we first invested in the Company, from translating pioneering microbiome science from the Wellcome Sanger Institute into a powerful genomics-driven microbiome platform that has generated promising efficacy in two Phase 1b clinical trials." — Dr Sam Williams, Venture Partner at IP Group ### What This Means for IBD Patients For the millions living with ulcerative colitis, this funding is a hopeful sign. Current treatments often fail to achieve lasting remission, and new options are desperately needed. If MB310 succeeds in Phase 2, it could offer a novel, orally-dosed therapy that harnesses the gut microbiome. Microbiotica's journey is one to watch. And it's a reminder that Europe's biotech scene is heating up—attracting big investments and tackling some of healthcare's toughest challenges.