Australia's Immuron Limited has completed a strategic investment in Ateria Health Limited, a UK based company that has developed ground-breaking product for the treatment of irritable bowel syndrome (IBS).

Immuron has completed settlement of upfront cash investment of £1.5 million (funded from Immuron’s existing cash reserves), following satisfaction of conditions precedent for the transaction, including completion of Immuron confirmatory due diligence and Ateria shareholder approval.

Immuron has been allotted 800,767 shares in Ateria at £1.85 per share, representing 17.5% of the issued share capital of Ateria post the Company’s upfront cash investment.

As part of the strategic investment Immuron has been offered one Ateria board seat and the company will nominate a representative director to the Board. Immuron is also entitled to a second representative director upon exercise of the £1.47 million share option, expiring on 31 July 2023.

The strategic investment advances Immuron’s objective to enter the broader IBS market with leading products and strengthen the distribution of Immuron’s Travelan products through B2C online platforms and pharmacy and retail channels (B2B) in target markets.