The Oxfordshire-based group has spent £16.5 million adding drug discovery company DanioLabs and specialist carbohydrate chemistry service Dextra Laboratories to its operations.

These deals add clinical and pre-clinical neurological and ophthalmic disease programmes to VASTox’s operations. They also enhance its expertise and capabilities in zebrafish chemical genomics and carbohydrate chemistry.

DanioLabs was bought for £15 million, satisfied in more than 11.7 million new ordinary shares and £159,000 in cash. Under the terms of the agreement, 10 per cent of the consideration has been deferred for 12 months. The Dextra deal was agreed for £1.5 million worth of VASTox’s ordinary shares.

The acquirer has inherited a research facility in Cambridge and 37 employees through buying DanioLabs with non-executive Dr Andrew Richards joining the enlarged group. The Dextra acquisition adds a chemistry operation in Reading and 17 employees to VASTox’s business.

VASTox specialises in a range of drug discovery programmes in the clinical, pre-clinical and discovery stages of development that target serious diseases. These therapeutic areas include neuro-disorders, anti-infectives, ophthalmic diseases, oncology and regenerative medicines.