ATHENS, Ohio, July 23, 2018 (GLOBE NEWSWIRE) -- RXQ Compounding, LLC, a manufacturer of sterile and non-sterile medications licensed to ship to 38 states and Washington, D.C., today announced it has secured its Series A funding, led by Ohio Innovation Fund (OIF). RXQ will use the funds to open a new state-of-the-art FDA 503B outsourcing facility for pharmacy compounding, employing hundreds in the Appalachian area of Southeast Ohio.
Bill Baumel, current managing director of OIF, will join the board of directors. He will be joined by RXQ’s Chief Executive Officer, Ed Zatta, and former Cardinal Health Executive Vice President of Corporate Development, Brendan Ford.
The American Medical Association recently called drug shortages partly caused by quality and manufacturing issues an “urgent public health crisis.” RXQ strives to combat those shortages by adhering to stringent standards and operating procedures put forth by the FDA to assure the safest compounds are delivered to customers and patients.
The company has seen revenue growth of approximately 200 percent over the past two years. With this Series A funding the company will continue to grow its product line and secure additional and larger partnerships with customers, all with advanced systems and processes to maintain the highest of FDA standards. RXQ currently works with more than 500 customers, with a reorder rate of nearly 100 percent.
“One of our goals is to help the businesses in our community in order to promote job growth and spur regional economic development,” said M. Duane Nellis, President of Ohio University. “RXQ Compounding has proven a great fit for the region during its time at the Ohio University Innovation Center, and as an ongoing client of TechGROWTH Ohio, we look forward to their continued success in the years to come.”
RXQ currently manufactures more than 140 products, including:
“This investment will help RXQ open a new world-class compounding facility, boosting our ability to further serve our customers and expand our line of products,” said Ed Zatta, Chief Executive Officer of RXQ Compounding. “We're excited to be supported by OIF, which has a proven track record in the region, including multiple IPOs and major acquisitions in both the technology and medical technology industries.”
“We have worked closely with RXQ throughout this process, and have a focused, high growth strategy in place, along with the right people and processes to maintain our commitment to operational excellence,” said Bill Baumel, managing director of OIF. “RXQ has become a strong example of how innovation can thrive in Appalachian Ohio, as well as the rest of Ohio and the Midwest.”
This is OIF’s second investment in advanced manufacturing applied to Med Tech in the Appalachian area of Ohio, following Stirling Ultracold, which has also seen revenues growing rapidly in the bio-repository market. The company employs roughly 100 people in Columbus and Athens. Both companies are also clients of TechGROWTH Ohio, an Ohio Third Frontier Entrepreneurial Services Provider program, which is part of Ohio University’s Voinovich School of Leadership and Public Affairs.
About RXQ Compounding
RXQ Compounding is an FDA Approved 503B Outsourcing Facility, located in Athens, Ohio. The company manufactures sterile and non-sterile medications, including products on the FDA Short List. It is currently licensed to ship to 38 states and Washington, D.C., with licenses for other states on the horizon. RXQ's products do not require a patient prescription and can be used for office use. As an FDA 503B Outsourcing Facility, RXQ is required by the FDA to follow Current Good Manufacturing Processes (CGMP), which include sterility, potency, and endotoxins.
Learn more at www.rxqcompounding.com.
About The Ohio Innovation Fund
The Ohio Innovation Fund (OIF) provides venture capital and strategic, operational, and financial expertise to high-growth companies in the SaaS, Data Science, Cyber Security, and Med Tech markets. With more than twenty years of Silicon Valley venture capital experience, and close ties with a significant network of key Silicon Valley leaders, the partners of OIF have successful exits via several multi-billion-dollar valuation Initial Public Offerings as well as acquisitions by companies such as Medtronic, Dell, SAP, Intuit, and Stryker. OIF's companies have been featured by CNN, Forbes and The Wall Street Journal among others. For more information please visit www.ohioinnovationfund.com.