An Alnwick pharmaceutical firm is to create more than 30 new jobs as part of expansion backed by a £750,000 loan.
The research and development (R&D) company Arc Trinova Ltd, trading as Arcinova, is set to grow thanks to the loan from the North East Growth Plus Fund, managed by FW Capital, while it also recently received approval for £60,000 of grant funding from the Rural Growth Network Fund.
Arcinova is a leading global provider of R&D services to the pharmaceutical industry with a comprehensive range of services in drug development.
In September 2015, the renowned pharmaceutical site, home to American-owned Covance, was proposed for closure. Arcinova, a new company formed by Ian Shott and Paul Ryan, owners of Shott Trinova LLP, announced the successful acquisition of the Covance site in February last year.
The business, which currently employs 63 staff, plans to hire an additional 31 employees following the investment.
Mr Shott, the managing director, said: “This funding will help us deliver our plans for significant growth as we aim to offer best-in-class technology services for contract research, development and small-scale manufacturing of drug substance from one location in Northumberland to help our UK and international customers progress their projects through the drug development process efficiently and with minimum risk.”
Mr Ryan, the finance director, added: “It has been a pleasure working with the FW Capital team on this deal. The process from our first meeting to a credit-approved offer in less than eight weeks was very efficient as the FW team achieved a good understanding of our business and plans quickly.”
Meanwhile, the £60,000 grant will be added to substantial capital investment, developing an additional revenue stream alongside its existing capabilities.
A suite of drug development activities will be offered from the site in Alnwick and the project will include the construction of a manufacturing plant, creating at least four new graduate-level jobs.
The Arch Business team identified the opportunity for rural growth funding via its regular meetings with local companies and encouraged Arcinova to apply as they looked to develop their Alnwick site, adding to Northumberland’s life-science and pharmaceutical sector.
In 2015, the Rural Growth Network secured £6million capital investment from the North East Local Enterprise Partnership’s Local Growth Fund. This investment will support businesses in the rural areas of Durham, Gateshead and Northumberland until 2020.