LUMICKS (IEU LS)

Promoter – Financial Intermediary

LUMICKS TECHNOLOGIES BV

Location

• The Netherlands

Description

The project will support the Research and Development investments (RDI) of Lumicks into development of next generation cell avidity and dynamic single-molecule instruments, allowing real-time analysis of molecular and cellular mechanisms and interactions. With large applications in fundamental and applied research, the new instruments can speed up and enhance success rates in drug discovery and development.

Additionality and Impact

The Project is dedicated to the development of next generation dynamic single molecule (DSM) and cell avidity (CA) instruments. These tools allow researchers in academia and industry to decipher bridges between structure and function at molecular and cellular levels. Both instruments represent a breakthrough technology already adopted by key opinion leaders in the respective fields. Through the investments foreseen in the Project both instruments will enhance their potential in speeding up drug discovery and development, especially in the cellular therapy field, with a great potential to be disruptive for the biotechnology and pharmaceutical sectors in the years to come. The purpose of the loan is to provide direct equity-type financing under the Life Sciences window of InvestEU, to finance research and development activities of the Company's innovative instruments, which have important social and economical benefits, linked to medical applications in understanding the underlying causes of diseases and facilitating drug development.

The financing of this Project addresses the failure in financial markets for R&D-driven European SMEs suffering from systematic shortage of large, non-dilutive financing options for growth investments. Creation of knowledge and support of skilled jobs will further contribute positively towards the leading role of Europe in medical technologies. Currently, the Company does not have access either to non-dilutive or to long-term debt funding sources in the necessary amount. Due to the volatility of European markets, which has significantly increased since 2022, access to both equity markets and commercial debt has been highly limited for risky but innovative companies such as Lumicks.

Structuring the financing as venture debt caters to the investment needs of the Company: it diversifies its sources of funding, the bullet repayment gives the company financing flexibility and the EIB may have a signalling effect and crowd-in more investors.

The EIB would not be able to provide such financing support to this operation, or not to the same extent (or quantum) without InvestEU.

Objectives

The project supports the continued development, manufacturing scale-up and market access of Cellular Avidity and Dynamic Single Molecule instruments. These tools allow research institutions, biotech and pharma companies to conduct a more efficient rational drug design and development, ultimately giving more reliable in vitro results before entering in vivo models (clinical stage).

Sector(s)

• Industry - Manufacturing
• Services - Professional, scientific and technical activities

Proposed EIB finance (Approximate amount)

EUR 20 million

Total cost (Approximate amount)

EUR 46 million

Environmental aspects

The project concerns investments in research and development activities carried out by the promoter and its partners in existing facilities without changing their already authorised scope. The related RDI activities do not fall under either Annex I or Annex II of the Environmental Impact Assessment (EIA) Directive 2011/92/EU (amended by Directive 2014/52/EU). Full environmental details will be verified during appraisal.

Procurement

The EIB requires that all project contracts are procured in accordance with the applicable EU procurement legislation.

Status

Signed - 10/10/2024