Newcastle firm Geneius is hungry for more

Feb 11 2010 by Chris Knox, The Journal

A FOOD science company that uses advanced DNA testing on a range of high-street products plans to expand throughout the UK and overseas after receiving industry accreditation.

Newcastle-based Geneius is the first company in the region to gain approval from the United Kingdom Accreditation Service (UKAS) for the use of its patented rapID technology to test food for bugs ranging from listeria to salmonella.

The firm was spun out of Newcastle University in 2008 after receiving investment from three business angels and has since gone on to win lucrative contracts with some of the UK’s best known food and drinks producers, including juice and smoothie maker Innocent Drinks.

The business, which is still based at the university, now plans to set up a number of satellite offices around the UK to improve its logistics and bring it closer to its clients, with laboratories planned initially for London and the Midlands. It is also hoping to set up labs abroad and has already received interest from investors in Canada and India since receiving the accreditation.

The firm, which tests many of the products found in major supermarkets, aims to achieve a turnover of £1m at the end of its first year of post accredited trading and is hoping to add around 55 jobs to its 20-strong workforce over the next two years.

Geneius managing director, Jerry Barnes said: “This is a major step forward for the company.

“The UKAS accreditation for our unique testing service shows that we have developed, documented and implemented a comprehensive and robust set of operating procedures, which comply with the stringent UKAS standards preferred by all major suppliers to the principle supermarkets. We are now poised to develop the business and increase our market share.

“We are already undertaking work for a number of major brands and many others are scheduled to come on board in the first half of this year.

“These companies appreciate the competitive edge the Geneius rapID® testing service gives them.”

The company is now looking for further investment to take its plans forward and said it was hoping to benefit from the £125m Finance for Business North East Fund (formerly known as the JEREMIE fund) which has been set up by regional development agency One North East with funding from the European Investment Bank, the European Regional Development Fund and the agency. The fund, which was launched in January, could give 850 small to medium-sized companies access to finance over five years.

As well as extending its portfolio of clients, the firm also said that it plans to add a series of new programmes to its Newcastle lab, including additional fruit juice testing.

Sam Samister of Innocent Drinks said: “Since meeting the team at Geneius two years ago, our plan has been to explore potential benefits from using this cutting edge technology.

“Through DNA fingerprinting we now have a faster and more accurate way in which to screen and understand our fruits.

“Identifying the bad bugs that can cause us a problem gives us growing confidence in the consistency of our drinks.”