DeepVerge is raising up to £12.5mln through a combination of a placing and subscription and a retail offer all at 2p per share.
Some £10mln will come from the placing and subscription, which the bacteria and toxins specialist said was oversubscribed, with up to a further £2.5mln from an offer to existing shareholders through broker Turner Pope.
Directors, management and employees subscribed more than £0.5mln in the placing and subscription, said the statement.
Money raised will be used to invest in DeepVerge's Labskin/Skin Trust Club, to repay in full and retire the March 2022 loan facility and provide additional working capital.
Nigel Burton, interim Chief Executive, added: "We are delighted with the response to this fundraising, with support received from an encouraging mix of both new and existing investors, including a number of institutions, high net-worth professional investors and Family Offices.
Turner Pope will act as agent for DeepVerge and invite subscriptions for the new shares in the retail offer. This closes at 4:30 pm on Friday, 28 October 2022.