A pharmaceutical technology company that is transforming drug delivery and enabling patients to replace injections with inhalers has secured a six-figure loan to help it meet growing demand.
CrystecPharma, which was founded by three University of Bradford academics, has raised funding from NPIF II – Mercia Debt Finance, which is managed by Mercia Business Loans as part of the Northern Powerhouse Investment Fund II (NPIF II). It follows a series of major contract wins by the company and will enable it to scale its operations in the run-up to an equity investment round.
CrystecPharma’s proprietary mSAS (modified Supercritical Anti-Solvent) technology helps stabilise drug molecules as engineered particles, making them easier to store and deliver in powder form. It enables medicines to be formulated in a way that makes them more effective, delivered by inhaler instead of injections, or kept at room temperature instead of in cold storage.
The company, which serves clients including many of the world’s leading pharmaceutical companies, is also working on its own range of inhaled products. They include a drug to stem bleeding which could help relieve heavy periods, prevent deaths in childbirth, and treat concussion on the sports pitch to reduce the risk of brain damage. A second product will treat urge incontinence and aims to replace round-the-clock medication with an inhaler used on demand.
CrystecPharma was established in 2008 by Peter York, who previously co-founded Bradford Particle Design which was sold to Inhale Therapeutics for $200m, and his colleagues Paul Thorning and Qun Shao. With demand for services growing, Paul Thorning and Qun Shao, who had previously continued in their academic roles, are now focused exclusively on the business to lead its growth.
CrystecPharma increased revenue by almost 80% in 2025 and is on course to achieve a further 50% increase in the current year. The company, which moved from the university to Bradford’s Listerhills Science Park earlier this year, currently has 15 staff and expects to create four new jobs in the coming months.
Paul Thorning, CEO, previously worked in Tanzania, where he led health and community services in one of the world’s largest refugee programmes. He says: “Our technology can transform the delivery and performance of medicines. Dry powder inhalers can be a real gamechanger, making it easy for patients to take their medication as and when required, and health workers to treat people outside of a clinical environment.
“In a refugee camp for example, the ability to treat post-partum haemorrhage – a leading cause of maternal deaths – with an inhaler or to store medicines without a refrigerator could save numerous lives. There are also many applications in women’s health, an area which remains underserved by our industry. Demand for CrystecPharma’s services has surged and the business has entered a period of strong growth. The funding will enable us to scale up and pursue our plans to raise strategic investment in the year ahead.”
Andy Clough of Mercia Business Loans added: “CrystecPharma solves some real challenges for clients, particularly those with newer, biotech-based drugs which have more fragile molecules that are harder to stabilise. After years refining its technology and building the client base, the business is really taking off. We are pleased to support its next phase of growth and believe it has potential to become a global leader in its field.”
Phil Dibbs of Hawkmoor Associates provided fundraising advice to the company. He added: “CrystecPharma is an amazing business with huge potential. I am delighted to have helped the team to raise funds to achieve their growth ambitions.”
Sarah Newbould, Senior Investment Manager at the British Business Bank, said: “CrystecPharma is a strong example of the kind of innovative, high-growth business that can strengthen the UK’s life sciences capabilities while bringing new technology to the market. It’s great to see NPIF II continuing to invest in businesses like CrystecPharma, whose work reflects the ambition of the Government’s Industrial Strategy to build globally competitive industries and drive growth across the region.”
The £660m Northern Powerhouse Investment Fund II (NPIFII) covers the entire North of England and provides loans from £25k to £2m and equity investment up to £5m to help a range of small and medium sized businesses to start up, scale up or stay ahead.
The purpose of the Northern Powerhouse Investment Fund II is to drive sustainable economic growth by supporting innovation and creating local opportunity for new and growing businesses across the North of England. The Northern Powerhouse Investment Fund II will increase the supply and diversity of early-stage finance for the North’s smaller businesses, providing funds to firms that might otherwise not receive investment and help to break down barriers in access to finance.