DEEPULL DIAGNOSTICS (IDFF)

The loan will enable the promoter to increase its research, development and innovation (RDI) activities for its highly innovative easy-to-use diagnostics platform to accelerate and improve accuracy in acute infections and sepsis diagnosis. The project is financed under the Infectious Diseases Finance Facility (IDFF) set up as part of Horizon 2020, the European Union's research and innovation programme for 2014-2020.

The related RDI activities aim to fight sepsis and antimicrobial resistance, through a faster and automated diagnostics system, based on a culture-free/label-free comprehensive microbial identification. In detail, a faster pathogen identification and antimicrobial susceptibility testing (AST), combined with an early warning classifier system, will allow making diagnosis faster and more accurate, thus helping to reduce mortality and morbidity related to sepsis and antimicrobial resistance.

The project addresses the failure in financial markets for small innovative and high-growth companies arising from the limited access and/or prohibitive cost of financing charged by creditors/investors as a result from information asymmetries, higher uncertainty, lack of collateral and imperfect screening and monitoring. The project is in line with the objectives of Horizon Europe program. The project will deliver a testing platform for sepsis based on PCR which has a broad application in diagnostic of sepsis and antimicrobial resistance (AMR). EIB's financing would be complementary to European VC investors and would provide a signalling effect to crowd-in other capital providers, which are necessary for the completion of the product development stage and commencing commercial operations.  EIB provides long term Venture Debt financing, with longer availability and maturity than the Company would otherwise be able to raise from the markets.

The RDI activities are expected to be carried out in existing facilities that are already used for the same purposes and that are not expected to change their scope due to the project. An environmental impact assessment (EIA) is therefore not needed as per EIA Directive 2014/52/EU amending Directive 2011/92/EU. The full environmental details will however be investigated by the Bank's services during the project due diligence.

The Promoter has been assessed by the EIB as being a private company not subject to EU rules on public procurement or concessions. However, if at the project appraisal, the EIB were to conclude that the Promoter is subject to EU public procurement legislation then the Bank would duly inform the Commission Services and would require the Promoter to apply those rules.