Axol Bioscience has acquired the ophthalmology business of Newcells Biotech, expanding its portfolio of induced pluripotent stem cell (iPSC)-derived retinal organoid and retinal pigment epithelium (RPE) models for drug discovery and safety testing.

The deal includes Newcells’ specialist ophthalmology team, facilities and intellectual property linked to proprietary iPSC-derived products and research services supplied to biopharma, biotechnology and CRO customers in Europe and the United States. Financial terms were not disclosed.

The acquired platforms include advanced retinal organoids and two-dimensional RPE models developed to support preclinical research and translational drug development. Axol said the transaction strengthens its position as an independent provider of physiologically relevant in vitro retinal models for ophthalmology drug discovery, gene therapy development and retinal safety and toxicity studies.

The move builds on Axol’s acquisition of Phenocell in October 2024 and follows a recent $2.8m financing led by BroadOak Capital Partners, aimed at expanding US commercial operations, product development and manufacturing scale-up. The company has been increasing its focus on ophthalmology as investment into treatments for age-related macular degeneration, glaucoma and rare eye diseases grows.

Liam Taylor, chief executive officer at Axol Bioscience, said: “Following our recent financing and continued strong revenue growth, we are executing on a clear strategy to scale Axol internationally and deepen our scientific capabilities. The addition of Newcells’ retinal organoid business is our third acquisition in five years and significantly enhances our ophthalmology offering, combining complementary expertise and intellectual property to create the most comprehensive independent portfolio of iPSC-derived retinal models globally.”

Florian Regent, head of ophthalmology at Axol Bioscience, added: “Newcells has developed a highly sophisticated and scalable retinal organoid platform focused on predictive, human-relevant iPSC-derived retinal models that are recognised across the industry. Integrating this capability with Axol’s existing ophthalmology portfolio enables us to offer a broader, more physiologically relevant toolkit to support research. As drug developers increasingly seek predictive human models to de-risk programmes earlier, this acquisition further positions Axol at the forefront of ophthalmology drug discovery and safety testing.”

The transaction reflects continued consolidation among specialist providers of advanced in vitro models, as drug developers look for human-relevant systems to improve predictability in early-stage research and reduce late-stage attrition. For Axol, the acquisition deepens its technical capabilities in retinal biology and expands its service offering to pharmaceutical and biotech partners developing therapies for eye diseases.