A Chepstow start-up business looking to revolutionise the way that diabetes is monitored and managed has been bought out of administration – saving nine jobs.

Orsus Medical Limited, which is based at Beaufort Park in the Monmouthshire town, was bought after Lee De’ath and Stephen Ramsbottom from insolvency and restructuring firm CVR Global LLP, who were appointed as joint administrators, were successful in seeking a buyer for the business.

Afon Technology Limited has bought the firm, which had suffered financial difficulties after being unable to raise further investment due to commercial and contractual restrictions.

Orsus Medical Limited had performed multi-million pound research to develop smartphone wristband sensors to continually monitor blood glucose levels – removing the need for people with diabetes to perform invasive pin prick blood tests to manage type 1 diabetes.

The jobs of all nine members of staff have been saved after a six-figure sum was agreed with Afon Technology Limited.

Lee De’ath, partner at CVR Global LLP, said: “The company traded in administration for 12 days while we sought a buyer for the business.

“The accelerated marketing process generated a great deal of interest ultimately leading to a sale to Afon Technology Limited.”

Sabih Chaudhry, previously CEO of Orsus Medical Limited, has been appointed as the CEO of Afon Technology Limited.

Mr Chaudhry said: “It was really unfortunate that Orsus went into administration which primarily resulted from the company’s lack of fundraising ability due to contractual constraints.

“The new owners were well aware of Orsus and the potential of the project so this was really a no-brainer for them. They acquired the assets, all the IP and, more importantly, the team.

“Orsus Medical will no longer be a trading company, however the name and associated trademarks have been acquired by the new owners.”