Akonni Biosystems, a molecular diagnostics company in Frederick and a recent graduate of the county’s business incubator, recently nabbed a $200,000 investment from the Maryland Department of Business and Economic Development.
The money, from the department’s Challenge Investment Program, which helps high-tech and science startups, will support development and manufacturing of Akonni’s TruDiagnosis disease detection systems.
‘‘Akonni is delighted to accept this investment from the DBED, a source of funds that will help us accelerate the build-out of our manufacturing capabilities and accelerate our path through the [Food and Drug Administration] approval process,” CEO Charles Daitch said in a statement.
Akonni develops microarray-based systems that help physicians more quickly test for a large array of diseases. Its systems have also been tailored for genetic testing.
Founded in 2001 and joining the Frederick Innovative Technology Center at Hood College in 2003, Akonni recently moved to an 11,000-square-foot manufacturing and product development laboratory in a renovated McCutcheon Apple Products warehouse in downtown Frederick near Carroll Creek.
The company has grown from three employees in 2003 to 24 scientists today, with plans to add more employees soon. To be eligible for the state award, a company must have no more than 25 employees and annual sales of $1 million or less.
‘‘Akonni’s cutting-edge work with disease detection has global implications and offers hope to millions of people around the world for a quicker, more thorough diagnosis,” Gov. Martin O’Malley (D) said in a statement.
Last month, the company was named the county’s Small Business of the Year by the Tech Council of Maryland.
Products in Akonni’s near-term pipeline include assays for multidrug-resistant tuberculosis, upper respiratory infections, and hospital-acquired infections. The company expects to secure FDA approval for its first assay by 2010.
Akonni also scored a$450,000 federal grant last fall from the Department of Justice to continue efforts in DNA analysis for forensic investigations. Those efforts are ongoing, said Michelle Hulcher, Akonni’s business and marketing manager.
In June, the company plans to start construction on a 9,300-square-foot addition after it noted significant growth since moving to the former warehouse in the fall, Hulcher said.
‘‘Based on Akonni’s current and projected growth, operational requirements to support manufacturing are anticipated to increase two-fold over the course of the next two years,” Hulcher said. ‘‘Akonni’s expansion plan demonstrates that the company is meeting and exceeding its corporate milestones within the Frederick community.”
The $4.1 billion molecular diagnostic testing market is the fastest-growing and most-profitable segment of the nation’s $51.7 billion clinical laboratory industry, Hulcher said, referencing a 2007 Washington G-2 Report on the molecular diagnostics industries. The report anticipates the industry will continue to grow by roughly 19 percent annually for the next three years, she said.
