Here's what Paragon Bioservices plans to do with $13M in new funding

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Paragon Bioservices Inc. is based at the University of Maryland BioPark on Baltimore's west side.

Sarah Gantz

Reporter- Baltimore Business Journal

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Baltimore's Paragon Bioservices Inc. plans to use $13 million in new funding to build up its drug research and manufacturing business.

"Business is good, but we could do better," CEO Marco Chacon said.

Paragon is a contract research and manufacturing organization, which means they work with bioscience and pharmaceutical companies, and government agencies to develop and manufacture drugs and vaccines. The company reported on Tuesday a $13 million Series A preferred stock financing round led by Camden Partners in Baltimore and Pennsylvania firm NewSpring Capital.

The new funding will in part go to outreach in pharmaceutical hotbeds, such as California, Boston and New Jersey.

"The importance of this Series A is it will increase our ability to do more business," Chacon said. "We will have the means and the cash to go after bigger and better things."

The company also plans to beef up its marketing and bring on more staffers, including executives. The company recently had hired biotech and finance veteran Pete Buzy as chief operating officer.

Chacon said that a reliable team of engineers and scientists is key for a lab business, but the company also needs strong leaders to drive growth.

Paragon currently has about 115 employees.

The company has 53,000 square feet of lab, product development and clean room manufacturing space at the University of Maryland BioPark in Baltimore. Chacon said Paragon could look to expand its footprint in the future, depending on how much new business the company is able to bring in.

Sarah covers health care, higher education, biotech and technology.