- Top Decile Fund Manager announces first close on second fund
- First closing at A$55m supported by Australian institutions
- IOOF provides $45m cornerstone
- Focused on clinical stage healthcare and life sciences firms
- First investment $3m into ASX Listed Avita (ASX.AVH)
Leading Australasian bioscience fund manager, Octa Phillip Bioscience Managers (Bioscience Managers), today announced a successful first close on its second fund, the Asia Pacific Healthcare Fund II, which has so far attracted $55 million from Australian Institutions, IOOF and MIESF.
“The growing healthcare and life sciences sector in Australia and across the Asia Pacific region provides a unique investing opportunity, which is much more resilient than traditional commodity markets.” Bioscience Managers’ Managing Director Jeremy Curnock Cook said. “We believe that our fund offers institutional and sophisticated investors a pathway to investing in the sector that is carefully designed to minimise risk and maximise security.”
The fund has already started building its portfolio, investing $3m into ASX listed regenerative medicine company, Avita and is currently assessing a number of other companies.
Bioscience Managers has a global, multi-disciplinary team and a focus on healthcare and life sciences firms that are in or near clinical development. Their “designed for security” risk managed investment approach has resonated with their committed institutions, who recognise that the macroeconomic trends powering global demand for healthcare are set to continue, creating a period of unprecedented opportunities for skilled, specialised fund managers and their investors.
Chief Investment Officer Matt McNamara said, “We are extremely pleased to have completed a first close at $55m in a very difficult market. We would hope to raise $100m or more by our final close.”
With over 170 investments, 40+ IPO’s / Reversals across Australia, the USA and Europe and investments in companies such as Chiron, Amgen and Angiotech behind him, Bioscience Managers’ Managing Director Jeremy Curnock Cook, is an expert in the field. Bioscience Managers’ first fund, the IB Australian Bioscience Fund I, is still active, has returned called capital to its investors and (as at 30 June 2012) recorded an annual IRR of 28% (as at 30 Sept 2012) since its inception in 2008. Fund I’s investments have included successful Australian companies such as Heartware, Acrux, Pharmaxis, Alchemia and Peplin (acquired by Leo Pharma).
Yet despite the firm’s undeniable success, the current financial climate has proved a challenge. “It’s inarguable that the current volatility in the financial markets is pulling funds away from growth investments, such as healthcare technology investments, and into more risk averse assets such as cash and bonds. We believe that our investment approach manages risk effectively in an industry seen by some to be a high risk environment. With a proven track record in exceeding investor expectations, we anticipate continuing to attract capital to this and other investment vehicles.” said Curnock Cook.
Fund II will remain open for investment for 12 months from its first close.
 Cambridge Associates LLC Global (ex-US) Private Equity and Venture Capital Funds Benchmarks 2012 Q2 (Please note this data is supplied to Octa Phillip Bioscience Managers at no charge)
 As per disclosed unit price at 30 June 2012 and calculated using “AVCAL Reporting Guidelines Excel Template 17 June 2004_0”