Investment Sponsor Spotlight: Cellular Engineering Technologies

By: Dana Udumulla

Key Points 

• Cellular Engineering Technologies (CET) was founded during the stem cell revolution of the early 2000s and has contributed significantly to the progression of scientific research.
• Though some associate CET with the traditional biotech drug developer, their products are used as research tools, allowing CET to support the entire universe of researchers/drug developers without taking clinical risks.
• Published in numerous scientific journals and harboring 40 existing products in their portfolio, CEO Marc Centrella has evidence supporting his faith in accelerating and adopting next-generation cell therapies.

If you’re hoping to back a private business with a positive mission, Cellular Engineering Technologies (CET) may suit your investment ideals. Run by CEO Marc Centrella, CET originally materialized amidst a peak of scientific revelations in the Y2k era where stem cell discoveries were being made. Since then, discoveries have continued to be compiled involving the utilization of stem cells for programming new cell types that can be used for cell replacement, genetic therapies, and tissue regeneration. The utility of these engineered cells is endless and can potentially replace many medical procedures, from soft tissue surgical procedures to oncology (cancer) applications. 

Cellular Engineering Technologies has aided in similar discoveries through its formulated research tools, patents, and trade secrets. Let’s uncover what seems to be a bright future in the biotech realm. 

The Backstory

Starting as a finance graduate, Centrella began his career as an investment banking analyst, working for some of the world’s leading investment banks. From there, he made his way into the healthcare field, earning the title of Senior Director and Corporate Developer for a global medical technology company. Following, he climbed the ranks, becoming the global leader for Corporate Strategy and Mergers and Acquisitions for two different publicly-traded life science tool companies. In September 2023, Centrella took over as the CEO of Cellular Engineering Technologies. 

Given his extensive M&A experience, Centrella observed the ideal profile of an acquirable and scalable company from the perspective of a larger acquiror. Also, he learned what early-stage companies must do to scale their platforms. His working assumption– if you have a differentiated technology, a seasoned team, and a robust commercial strategy, a company will eventually grow into an acquirable platform that is attractive to an acquiror. Centrella has witnessed this advancement in a handful of small scientific startups, which, judging by his retirement portfolio, are his investment forte. 

Cellular Engineering Technologies’ Intricacies and Particulars

The team of bench scientists works out of their facility located in Coralville, IA, just down the road from the University of Iowa. Nonetheless, CET supports researchers across the world. Biotechnology researchers and manufacturers use CET products for a myriad of cell-based research activities. Academic and biopharma scientists access these specific stem cells for research surrounding therapeutic development, toxicity studies, disease modeling, and regenerative medicine. Furthermore, CET generates high-value proteins that generally accompany their cell lines in various experiments. 

CET’s mission is to design and provide scientists with efficient tools to enable them to perform their research adequately and successfully. These workflow tools help in presumable ways and aid in lowering costs for clinical trials and next-generation therapeutics. In certain instances, CET can also provide disease model cell lines, permitting researchers to study specific human diseases. Prioritizing communication with its customers, CET regularly solicits their input to curate solutions that can accelerate their research. 

Sufficiency in their Solutions

Cellular Engineering Technologies’ application scientists have spent the last five years developing one of their greatest accomplishments, a genetically engineered yeast platform that can express a human version of a protein. What renders this advancement is that most proteins used in cell-based research are produced by E. coli bacteria. Manufacturing with this yeast platform illuminates a promising outlook. It’s believed that these high-quality proteins can be made in a more cost-effective manner because of their derivative state, and in a more frequent measure.

Proving to be innovators in their field, Cellular Engineering Technologies has had their products cited in many scientific publications. Most recently, their study on MSC-derived exosomes for wound healing was featured in the International Journal of Molecular Sciences MDPI. CET’s HepG2 human carcinoma cells were cited in a recent issue of Cell Transplantation, thanks to research performed by the Keio University School of Medicine and the National Cancer Center Research Institute of Tokyo. Regularly cited in publications, there’s substantial proof that Cellular Engineering Technologies is making significant strides. 

Currently, there are a limited amount of approved cell therapies in existence. The good news is that there is a hefty pipeline of therapies with the potential to be approved in the near future. Centrella likes to think that in 10-15 years, medicine, as we know it, will have changed drastically. He hopes that medicine will be designed in a way that’s tailored to the individual, where only a single dose of a drug is required to be created and can specifically attack the deficiencies of said individual. 

Cellular Engineering Technologies: Seeking Startup Investors

What might be unbeknownst to prospective investors, is using your Self-Directed IRA (SDIRA) to invest in this private startup is relatively low risk. For one, the valuation of Cellular Engineering Technologies is not typically correlated to the general volatility of the public market. Since CET is selling tools to advance therapies, the improvement of the business is not linked to clinical trials or a specific drug that’s been developed. Therefore, there’s no likely waiting period to see if sufficient results emerge. 

These offered tools are essential for researchers to analyze processes and idiosyncrasies of certain diseases, signaling that it’s unlikely that it will ever be greatly reduced in worth. Congruently, CET holds revenues in addition to a portfolio of almost 40 products that are generating revenue today. This leads Centrella to estimate that the profit and loss that can be monetized will typically result in a successful exit, with a likely exponential return on investment.  

What’s Next for Cellular Engineering Technologies?

Through CET’s commercial strategy, it appears that they’re on the path of continued revenue growth. In conjunction, Centrella is pursuing alternative strategies such as technology in-licensing to further boost the Cellular Engineering Technologies portfolio. At the year four mark, the plan is to evaluate options and determine whether they’re better suited to monetize via acquisition or extend the company’s runaway for a longer period. 

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Self-Directed IRAs grant you the ability to participate in alternative investing. With SDIRAs, a wide variety of alternative assets are at reach, including private placements and startup initiatives whose mission aligns with your beliefs. Our Self-Directed IRA Specialists are here to help further educate you so that your self-directing endeavors are seamless. Schedule a free discovery call today! 

This content is for educational purposes only and is not an endorsement.