P.E.I. bio-science firm eyes expansion to global markets after $16.4M investment

An Island company that's helping veterinarians reduce use of antibiotics has announced a major private investment deal that will enable it to scale up production, and market its Island-made health products worldwide.

MicroSintesis has closed a deal worth $16.4 million with Toronto-based Northern Private Capital.

"The world is focused on antibiotic resistance ... so we're looking to take our technology to global markets," said Hannah McIver, CEO and founder of MicroSintesis. "We're looking to build what will be a first-in-class production facility."

The Charlottetown-based bioscience company holds patents on production of probiotic bacteria that is fed to livestock and companion animals to improve the health of their digestive systems. The company moved to P.E.I. from Ontario just over three years ago and currently employs about a dozen people. The investment will allow the company to expand quickly, according to McIver.  

"We would hope to double our people on P.E.I. in a very short period of time. Obviously, with a size of $16.4 million, [the investment] allows us the flexibility to bring in great talent, both from the local communities and also from international circuits," said McIver.

McIver announced the investment deal June 26 at Vet Health Global, an international animal nutrition conference held annually in Charlottetown. It's organized by the P.E.I. BioAlliance, a local industry-support group.

"What we've become very good at here in our bio-science cluster in Prince Edward Island is working with early-stage companies to help them move from a technology to a business," said Rory Francis, CEO of the alliance. "That allows this private capital to come in because people see a good investment opportunity."

'Part of the solution'

MicroSintesis currently occupies production and office space in three locations around Charlottetown, including Bio Food Tech, a research facility adjacent to the campus of UPEI and the Atlantic Veterinary College.

The company's patented microbial cultures are incubated in a lab, then transferred to fermentation vats for industrial-scale production. The dried product is packaged on-site and shipped to customers, including veterinarians, who add the product to animal feed.

We feel this technology will be part of the solution for a better, safer world- Hannah McIver, CEO, MicroSintesis

Use of microbial therapy is helping reduce the overuse of antibiotics, and to reduce problems associated with antibiotic resistance among disease-causing organisms, such as E. coli, McIver said.

"Reduction of antibiotics is being mandated by all governments," said McIver. "That is causing production issues for producers, causing health and welfare issues for veterinarians. So they need clearly defined, clinically effective alternatives."

The company's products currently focus on digestive health. The $16.4 million investment will allow the company to look at other areas of concern — including diseases of the skin and reproduction systems in animals. Applications to human health may also have long-term potential, according to McIver.

"We feel this technology will be part of the solution for a better, safer world," said McIver.

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