November
2007 issue
Health Care IPOs
Surviving Stock Market Jitters?--
So Far, Most IPOs Priced In 2007 Still Trading Above Initial Offering Prices
While the broader markets may be feeling a wintry draft right now, in health
care this fall, positive aftermarket performance is a warm glow for several
companies that priced IPOs so far this year.
...
Health Care VC Funding In 2007 Set To
Surpass 2006:
Venture Capital Keeps Flowing Into Health Care, Shows No Signs Of Slowing
Already this year $8.2 billion has been invested in 405 health care venture
capital deals, and at this point, both deal flow and dollar volume appear to
be keeping pace with the increasing activity this market has witnessed in
recent years.
...
Mergers & Acquisitions
During October, several acquirers made two deals apiece, five deals in
excess of a billion dollars each were announced and one deal features the
acquisition of a pharma by a brewing company.
...
Venture Capital Funds
Some rumblings from industry groups highlight recently proposed tax
treatments that could affect venture capital funds, but meanwhile, new
health care funds are being raised, closed and deployed.
...
Private Placements
The health care private placements announced
in October include two investments that were led by the chairman of the
board of the respective companies that announced deals.
...
Sign
up for a trial subscription and get the current issue!
Read more about
Healthcare Corporate Finance
News Read the past
headlines.
Companies Mentioned in this issue:
November 2007
20/10 Perfect Vision p15
3SBio p2
5AM Ventures p12
A
Aastrom Biosciences p14
Abbott p16
Abbott Nutritionals p16
Abingworth Management p10
Ablynx p12
Acceleron Pharma p10
Acorn Acquisition p8
Adams Street Partners p11
Adeza BioMedical p12
Adnexus Therapeutics p2
Advanced Technology Ventures p10
Advaxis p14
Affymax p11
Agendia p12
Aisling Capital p9
Akela Pharmaceutical p4
Alcon p5
Alere Medical p7
ALIGN Pharmaceuticals p8
Allergan p8
Allozyne p11
Almost Family, Inc. p8
Alpharma p8
Amacore Group p8
American Academy of Physical Medicine and Rehabili p16
Anacor Pharmaceuticals p7
AngioScore p11
Apollo Light Systems p8
Applied NeuroSolutions p14
Apria Healthcare p8
APT Pharmaceuticals p9, p11
Archemix p4
Arteriocyte Medical Systems p11
Arura Pharma p14
ARYx p4
Aspreva p12
Aspreva Pharmaceuticals p8
AstraZeneca p7
athenahealth p1
ATS Health Services p7
ATS Medical p4
ATV Capital p3
Aurora Funds p9
AVANT Immunotherapeut. p8
Azimuth Opportunity, Ltd. p13
B
BA Venture Partners p11
Bain Capital p10
Banc of America Securities p5
Bank of America p11
Bankhaus Wolbern p11
Bay City Capital p3
Bear, Stearns p4
Bessemer Venture Partners p10
BG Medicine p12
Bio-Stat Healthcare Group p7
BioForm Medical p4
BioFund Ventures p10
Biogen Idec New Ventures p10
BioHeart p4
Biolipox p8
Bionovo p4
Biophan Technologies p4
BioVeda Fund p10
Blackmont Capital p5
BMO Capital p4, p14
Boehringer Ingelheim p8
Boston Life Science Ventures p9
Bracco Diagnostics p8
Bradley Pharmaceuticals p8
Brangold, Ltd. p8
Breen Murray p14
Bristol-Myers Squibb p2
Brook Venture Partners p11
Brookside Assisted Living p8
Brookside Capital p3
C
Canaccord p4
Canon Staar Co., Inc. p8
Canyon Creek Devel. p8
Capital Partners p10
Cardica p4
Carter Securities p14
Cartesian Medical Group p5
Celldex Therapeut. p8
Center for Venture Research at the University of N p9
CeraPedics p11
Cerexa p12
Certified Diabetic Services p14
Charter Life Sciences p9
CHDI, Inc. p14
China Shenghuo Pharmaceuticals p1
Chroma Therapeutics p12
CIBC p4
Clarus Ventures p9
CM Capital p9
CMEA Ventures p12
Computer Sciences Cp. p8
Conatus Pharmaceuticals p12
CORA Health Services p8
Coram p8
Cowen and Company p2
Crdentia p7
Crdentia Corporation p7
Credit Suisse p3
Critical HomeCare p4
Cross Creek Capital p11
Crucell p7
Cubist Pharmaceutic. p8
Cutlass Capital p3
Cyclacel Pharmaceut. p8
Cytokinetics p4, p13
Cytyc p12
D
D.A. Davidson. p4
Dawson James p5
Deerfield Capital Partners p10
Delphi Ventures p12
Dendreon Corporation p13
Desjardins Securities p5
Deutsche Bank p3
DFJ ePlanet p12
DFJ ePlanet Ventures p12
DFJ Frontier p12
DFJ Growth Fund p12
DFJ Mercury p9
Direct Flow Medical p11, p12
Direvo Biotech p11
Domain Associates p10
Dow Chemical p10
Draper Fisher Jurvetson p12
Dundee Securities p5
DUSA Pharmaceuticals p14
Duska Therapeutics p14
DW Healthcare Partners p11
E
E-Z-EM, Inc. p8
Eli Lilly and Company p5
ELITech Group p8
Employee Benefit Research Institute p16
Endosurgery, Apollo p11
Ensign Group p4
EnteroMedics p4
Equity Group Investments p11
Essex Woodlands Healthcare Ventures p11
Excel-Tech Ltd. p8
EyeTel Imaging p4
F
Family and Children’s Svcs. p8
First Consulting Group p8
Flagship Ventures p10, p11
Fletcher Spaght Ventures p11
FlowCardia p12
Forest Laboratories p12
ForSight Newco II p8
Foundation Medical p11
Frazier Healthcare Ventures p9, p10
G
Galenica Group p8
GE Healthcare Financial Services p10
Genetic Immunity p11
Genoptix p5
Georgia Venture Partners p10
Gilde Healthcare Partners p12
Glaxo-SmithKline p7
Glenmark Pharmaceutical p7
Global Insight p15
Goldman, Sachs p11
Great Point Partners p9, p11
Greatbatch, Inc. p8
Greenhouse Capital Partners p11
Growthink p9
H
H.I.G. Ventures p9
Haemonetics Corp. p8
HBM BioVentures p10
HealthCap p10
Helicos Biosciences p2
High Throughput Genomics p11
HistoRx p11
Horizon Technology Finance p10
I
IBG Beteiligungsgesellschaft p11
Ikonisys p11
Illumigen p8
Ilypsa p12
Insulet p2
InterMune, p5
Inverness Medical Innovations p7
IR Biosciences p2
Isis Pharmaceuticals p14
ISTA Pharmaceuticals p12
J
JAFCO Technology Partners III p12
JAFCO Ventures p12
Jefferies p4
Johnson & Johnson Development Corporation p10
Johnson & Johnson p8
Johnson & Johnson Development p12
Johnson & Johnson Development Corporation p10
JPMorgan p2
K
Kinetic Concepts p5
King Pharmaceuticals p8
Kingsbridge Capital p13
Kirin Brewery Co. p7
Kleiner Perkins Caufield & Byers p10
Kyowa Hakko Kyogo Co. p7
L
L.C. Williams & Associates Research Group p16
Laboratories Almirall p8
Laurentian Bank Securities p14
Lazard p4
Lazard Capital Markets p3
Leerink Swann p3
Lehman Brothers p2
Life Science Partners p10
Lifeguard Benefit Services p8
Linkage Biosciences p11
Living Cell Technologies p14
Lombard Odier Darier Hentsch & Cie p10
London Business Angels p11
London Seed Capital p11
Lumen Medical p8
M
MacroChem p8
MacroGenics p7
MannKind Corporation p13
MAP Pharmaceuticals p3
Marval Biosciences p9
Masimo p1
MB Venture Partners p11
McKesson Corp. p8
Meda AB p8
Medical People Health Services p7
Medicals Direct Group p8
MedImmune Ventures p9
Mediphase Venture Partners p12
Merck Capital Ventures p11
Mercy Outreach Surgical Team p16
Meritain Health p16
Merlin Nexus p11
Merrill Lynch p3
Merriman Curhan Ford p4
Merrion Pharmaceuticals p4
Metabasis p12
Metastatix p9, p10
Mexican Rotary Clubs p16
Michelson Diagnostics p11
Midtown Partners & Co. p14
MMC Ventures p11
Morgan Stanley p3, p4
Morton Grove Pharmaceut. p8
MPM BioEquities p10
MPM Capital p11
N
National Technology Enterprises Company p9
National Venture Capital Association p9
Natus Medical p8
Navigator Technology Ven. p11
NBGI Technology Fund II p15
NBGI Ventures p12
Neurobiological Technol. p4
New England Venture Network p15
New Enterprise Associates p1
New Gilde Healthcare II Fund p12
New Leaf Ventures II p11
NLV Partners p11
Nomura Phase4 Ventures p10
Nomura Phase4 Ventures p9
NovaBay Pharmaceuticals p5
Novartis BioVentures p9
NPS Pharmaceuticals p7
Nycomed SCA p8
O
Oak Investment Partners p10
Obagi Medical p4
Ocimum Biosolutions p8
Oncology Therapeutics p8
Optherion p10
Optimer Pharmaceuticals p13
OrbiMed Advisors p3, p10
Orchid Cellmark p8
Orexo p8
Orphan Europe p8
Orthovita p8
Outrider Investors p11
OVP Venture Partners p11
Oxford Bioscience Partners p11
Oxford Finance Corp. p10
Oxford Immunotec p9
P
Pappas Ventures p10
Paratek Pharmaceuticals p9
Partnership for Workplace Health p16
Patient Safety Technologies p14
Paul Capital Healthcare p13
Pearl Therapeutics p12
Pediatrix Medical p7
PerkinElmer p8
Perseus-Soros Biopharmaceutical p3
Pharmasset p2
Pharming Group p13
Phase Bioscience p11
Pieris p12
Piper Jaffray p2, p4
Polaris Ventures p10
Power Medical Inv p4
Prelude Trust p10
Prolacta Bioscience p12
Protalix p5
Providence Service p8
Psilos Group Management p11
PTV Sciences p11
Punk, Ziegel p4, p14
Purdue Pharmaceutical Products p10
Pure Bioscience p14
Q
QLT, Inc. p8
Quaker BioVentures p10
Quality of Life Home Hlth. p8
Quan Emerteq p8
Quest for Growth p10
Quester p10
QVT Financial p10
R
Radiation Therapy Services p7
Radius Ventures p3
Raytel Cardiac Services p8
Recip AB p8
Recordati SpA p8
Regentech p11
ReliaGene Technologies p8
Reliant Pharmaceuticals p4
Relypsa p12
Respironics p8
Reverse Medical Corporation p15
Rockefeller University p10
Rodman & Renshaw p11, p14
Rotary International p16
Royal Philips Electron. p8
Rules-Based Medicine p11
S
S.R. One p9
Sante Health Ventures p11
Sapient Capital p3
Scale Venture Partners p11
SCG Investments p10
Select Medical Corp. p8
SF Capital Partners p14
Shire p8
Simplex Diabetic Supply p1
Sirna Therapeutics p12
Sirtris Pharmaceuticals p1
Skyline Ventures p3
Solstice Capital p11
Spinal Restoration p11
Spring Medical Systems p9
Sprout Group p11
STAAR Surgical Co. p8
Stanford Group p4
Sutter Hill Ventures p10
Symphogen p12
Synta Pharmaceuticals p7
Syntaxin p10
SyntheMed p4
T
TA Associates p7
Targanta Therapeutics p3
Telegraph Hill Partners p11
Tengion p10
Texas True Choice p8
The Boston Globe p15
The Practice p1
Thomas Weisel Venture Partners p3
Three Arch Partners p11
TomoTherapy p4
Trans1 p2
Transcept Pharmaceuticals p12
Transoma Medical p4
Trevi Health Ventures p11
TriReme Medical p11
TVM Capital p11
U
U.S. House of Representatives Ways and Means Commi p15
UBS Investment Bank p2
University of Iowa p10
University of Minnesota p3
Urigen Pharmaceuticals p4
V
VantagePoint Venture Partners p10
VaxGen p4
Venrock p10
Versant Ventures p9
Vestar Capital p7
ViaCell p8
Viant Holdings p8
VirtualScopics p4
VisEn Medical p11
Vital Scientific N.V. p8
Vivo Ventures p9
Volcano Corp. p4
W
Wachovia Capital Markets p2
Water Street Healthcare Partners p11
Wellington Partners p9
William Blair & Co. p4
Wockhardt Limited p8
WuXi PharmTech p1
X
Xcellerex p10
XDx p4
Xencor p11
XTL Biopharmaceuticals p4, p14
Y
Yale University p10
Z
ZARS Pharma p2 |
Health Care VC Funding In 2007 Set To
Surpass 2006:
Venture Capital Keeps Flowing Into Health Care, Shows No Signs Of Slowing
Email this article to a friend
Email Editor
Venture capital firms
invested $686.5 million in 34 privately held health care companies during
October 2007, including 16 investments in biotechnology, eight in medical
devices, five in biopharmaceuticals, three in pharmaceuticals and two in
health care services. According to some sources, at least another $70
million was invested in other health care companies, and undisclosed
amounts were invested in some others, but no confirmation of those deals
had been received by press time. Simplex Diabetic Supply, a health
care services company, announced the largest deal we recorded in October
2007, with $50 million from just one investor, New Enterprise
Associates. Simplex Diabetic Supply was founded in 2007, and in less
than six months, has already become one of the largest of the Medicare
diabetes suppliers. With the proceeds from this financing, Simplex is
accelerating the execution of its acquisition strategy, while continuing
to focus on being a leading provider of diabetic testing supplies.
The only other deal announced by a health care services company during
October was the $3.2 million round for The Practice, which is based
in the United Kingdom and manages a portfolio of surgeries in partnership
with primary care trusts and general practitioners for the purpose of
freeing doctors from administrative burdens. The next-largest deals of
October were two $40 million rounds, one announced by Paratek
Pharmaceuticals, a biopharma, and the other by Oxford Immunotec,
a biotech. Paratek Pharmaceuticals, which raised capital from Aisling
Capital, D.E. Shaw, Boston Life Science Ventures, Nomura
Phase4 Ventures, Novartis BioVentures and other investors, is focused
on the worldwide problem of antibiotic resistance. Its most advanced
broad-spectrum antibiotic is being developed to treat serious infections
such as complicated skin and skin structure infections and moderate to
severe community-acquired pneumonias. Oxford Immunotec secured funding
from Clarus Ventures, Wellington Partners, National Technology
Enterprises Company and other investors, to support the market launch
in the United States of its lead product, a highly sensitive and specific
blood test for tuberculosis. Oxford Immunotec’s product is already being
marketed directly and via distributors in Europe, as well as Canada and
select other countries.
The largest of the three pharmaceutical deals announced during the month
was the $35 million Series B financing that Metastatix raised, to
fund clinical trials of its lead drug candidate in cancer patients and to
advance its development programs in inflammation and HIV infection.
Frazier Healthcare Ventures, H.I.G. Ventures, Aurora Funds, CM Capital,
S.R. One, MedImmune Ventures and other investors contributed to the
round. APT Pharmaceuticals, a specialty pharma, raised $22 million in
Series A-2 funding, to support the advancement of its pipeline, which
includes a product candidate in phase III trials for the prevention of
lung transplant rejection, a cardioprotectant and several other projects.
Versant Ventures, Great Point Partners, Vivo Ventures and
Charter Life Sciences provided the funding to APT.
The only other pharma that announced a venture round during October was
Marval Biosciences, a Houston, Texas-based company that raised $1
million in Series A financing from DFJ Mercury and angel investors.
Marval Biosciences has developed a contrast agent with an enhanced safety
profile for computed tomography (CT) scanning, which may be used in the
diagnosis of vascular conditions or abnormalities. The product candidate
has already been tested in rodents and is now being tested in human-sized
animals. Marval’s product could possibly progress through the FDA approval
process more quickly than a therapeutic product at the same stage. The
novel formulation is composed of chemicals that have all already been used
in humans for 15 years, but offers greatly-reduced toxicity and better
imaging quality. Currently, the company is gathering data to submit to the
FDA.
None of the health care companies that announced venture rounds in October
were in the e-Health sector, but one e-Health company announced its intent
to secure $5 million in Series A venture financing. Spring Medical
Systems has retained investment banking and business development
services firm Growthink to raise the capital, which will be used to
support expansion and growth. Headquartered in Houston, Texas, Spring
Medical Systems, which was founded by physicians and technology
professionals aiming to increase efficiency, reduce costs and provide
better patient care, provides software solutions for small- and
medium-sized medical practices. The company’s electronic health record
solutions are now in their ninth year of development and are used in a
variety of medical specialties.
|
|
FREE TRIAL
TO
HEALTHCARE CORPORATE FINANCE NEWS!
If you like this article, there’s lots more
waiting for you in the Healthcare Corporate Finance News.
Sign up for two free months right now! There’s no
obligation, no writing “cancel” on a bill. Happy reading!
|
|
|
|
|
|
