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

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 lot of money for a company you might not have heard of. But here's why it matters: they're developing a precision microbiome medicine for ulcerative colitis, a type of inflammatory bowel disease (IBD) that affects millions worldwide. ### The Science of Gut Bugs Microbiotica isn't your typical drug developer. They're harnessing the power of the gut microbiome—the trillions of bacteria living in our intestines—to treat disease. Their lead candidate, MB310, is an orally-dosed pill containing a defined mix of bacteria. In a Phase 1b trial, it produced statistically significant clinical remission in ulcerative colitis patients, with no safety issues. That's a big deal because current treatments often come with side effects or don't work for everyone. The company's platform is genomics-driven. They have a massive collection of microbiome cultures, a proprietary human Reference Genome Database, and machine learning tools. By analyzing clinical trial data, they can identify which bacteria are linked to positive outcomes. It's like finding a needle in a haystack, but with DNA. ### The Investors Behind the Bet Leading the round is the British Business Bank, with participation from Tencent, IP Group, Cambridge Innovation Capital, Flerie Invest, and Seventure Partners. All existing Series B investors joined in. Carmine Circelli, Senior Investment Director at British Business Bank, said: "We believe Microbiotica is emerging as a world leader in microbiome therapeutics. Its Phase 1b study in ulcerative colitis produced statistically significant clinical remission, best in disease potential with no safety issues." That's high praise from a major investor. ### A Hot Sector in 2026 Microbiotica's raise is part of a wave of European biotech investments this year. Here's a quick rundown: - Germany's mbiomics added €12 million ($13 million) to its Series A, bringing it to €30 million ($32 million) for microbiome-based therapeutics. - UK's OutPost Bio raised €2.9 million ($3.1 million) to expand its human microbiology modelling platform. - France's Bionyra Pharma secured €143 million ($153 million) for inflammatory disease treatments, including IBD. - Paris-based Generare raised €20 million ($21 million) for microbial-genome-based drug discovery. - London's Alchemab Therapeutics received €29.3 million ($31.4 million) from British Business Bank for its clinical pipeline. Together, these deals represent about €207.2 million ($222 million) in new financing, or €249.2 million ($267 million) including Microbiotica's round. Clearly, investors see potential in bugs. ### What's Next for Microbiotica? The fresh cash will push MB310 into Phase 2 trials. If those confirm the Phase 1b results, it could be a breakthrough for ulcerative colitis patients. CEO Tim Sharpington said: "We are now focused on taking MB310 into Phase 2 clinical development, where we have an opportunity to further establish MB310 as a breakthrough treatment option for people living with ulcerative colitis." Founded in 2016 as a spin-out from the Wellcome Sanger Institute, Microbiotica has partnerships with MSD, Cancer Research UK, Genentech, and others. Dr Sam Williams of IP Group noted: "We have been very impressed by Microbiotica's progress since we first invested... There is an important opportunity to advance Microbiotica's precision microbiome approach into a larger clinical study." So while the headline is about money, the real story is about hope for people with IBD. And if Microbiotica succeeds, it could open doors for a whole new class of medicines. Not bad for a bunch of gut bacteria.