3i lead investment in Gyro

Gyro, a company developing microfluidic technologies for the life sciences market, has taken $30m in funding from a syndicate of investors.

A consortium of investors led by 3i have committed $30m in second round funding into Swedish biotech Gyro, making this the largest venture capital deal to date in Sweden’s biotechnology sector.

Other new investors include The Swedish Industrial Development Fund, InnovationsKapital and H&B Capital. Following their first round investments in 2000, which totalled SKr285m (E30m), existing investors Investor Growth Capital, The National Pension Insurance Fund, Karolinska Investment Fund, HealthCap and The Swedish Union of Clerical and Technical Employees in Industry, have all increased their commitments.

Gyro, a spin-off from Amersham Pharmacia Biotech, develops microfluidic technologies for the life science market. These technologies are used to discover drugs, and in pharmaceutical research.

According to UBS Warburg, revenue in the microfluidic/microchip market for life sciences is expected to reach nearly $1.2bn by 2004. Gyro expects to take first place in this market and is readying a product launch for the start of 2002, said the group.

The company has a portfolio of more than 40 patents and patent applications for its technology, which Daniel Morgan, an investment director at 3i, said was one of the most exciting things about the company because it offered good potential for growth.