BioScience Managers Translation Fund to spur Australian jobs and innovation
Melbourne, Australia 13 December, 2016 – BioScience Managers, one of Australia’s leading life sciences investment firms, has been awarded a $100 million investment licence for the Federal Government-backed Biomedical Translation Fund.
BioScience Managers is one of three fund managers chosen to invest on behalf of the BTF and will be responsible for $100 million, half from the Federal Government BTF and the other half raised independently.
Managing director of BioScience Managers, Mr Jeremy Curnock Cook, said Australia’s innovative healthcare and biomedical research sectors would get a significant boost as the total $500 million in the Biomedical Translation Fund (BTF) is invested.
“We really need to ensure that the next generation of companies like Cochlear, Resmed and CSL can grow and flourish from Australia and become international champions and this investment capital will certainly go a long way to ensuring that,’’ said BioScience Managers’ managing director Jeremy Curnock Cook.
“Too often great Australian ideas struggle to bridge that second valley of death as they struggle for capital to commercialise promising discoveries,’’ said Mr Curnock Cook.
“What is required is not just more money but an investment approach that ensures that companies can access the right people and expertise to give their biomedical innovation the best chance to succeed in a highly competitive world market.’’
As a highly experienced manager in this space, BioScience Managers has a strong track record of delivering high investment returns after adding significant value through commercialisation and scientific advice.
Mr Curnock Cook said that in his opinion, the best feature of the Biomedical Translation Fund is that it will be highly targeted.
“It is really important to remember that this money is not a handout – the Federal Government is rightly expecting to achieve a good financial return on its investment on behalf of taxpayers and the three fund managers appointed will certainly be seeking just that for the money they are investing on behalf of their investors,’’ he said.
“That is actually an important safeguard because nobody should lose sight of the fact that we are trying to produce globally competitive companies here that produce life-saving products.
“It is not simply a case of funding basic research in a different way – as the name of the fund suggests it is about translating research that has already been validated into commercially competitive drugs, medical devices and clinical products that meet clearly defined markets and produce meaningful returns for investors, including taxpayers.’’
PUSHING FOR NET RETURNS ABOVE 20 PER CENT
Chief investment officer with BioScience Managers, Matt McNamara, said his company would adopt the same winning strategy in investing for the Biomedical Translation Fund that has produced annualised net returns above 20 per cent for several previous biomedical investment funds.
“We always strive to be hands on with management and to take a relatively large stake in a smaller number of investments to ensure we can really add value and advice on commercialisation,” said Mr McNamara.
“It is really important in the commercialisation stage to be tactical in spending money in the right areas and forming the right partnerships to ensure the company has a strong future.
“Sometimes something as simple as the right introduction or finding just the right person for a position can make the difference between success and failure.’’
Mr McNamara said the team at BioScience Managers would continue to comb through up to 200 Australian public and private investment opportunities each year, selecting those with significant technological and/or market advantages that can excel commercially in international and local markets.
“Australia has a fantastic record in scientific research and development but we need to work harder on commercialisation and that requires a global outlook,’’ said Mr McNamara.
“There simply is no alternative to thoroughly checking investee companies to make sure they not only have the right ingredients for success but that their team is prepared for the sheer amount of hard work that is part and parcel of becoming a globally successful biomedical company.’’
BioScience Managers also recently launched BioScience Managers Ventures I, a $50 million Significant Investor Visa (SIV) fund, the first in a planned series of venture funds for SIV applicants.
PRIVATE FUNDS WILL MATCH $50 MILLION
Mr McNamara said he expected significant health as well as economic benefits would flow for all Australians as a result of the BTF.
“The BTF investments will have the effect of continuing to promote the maturity of the biomedical investment sector and promote confidence that with the right support, Australians can take a biomedical idea from the basic research level all of the way through to full commercialisation,’’ he said.
As part of the BTF structure, BioScience Managers had to match the $50 million from the BTF with privately raised funds.
About BioScience Managers:
BioScience Managers Pty Ltd is a leading healthcare investment specialist founded in 2003, with the assistance of VicStart. It invests in a portfolio of biomedical companies which have clear technological and market advantages in which it can influence success and is confident of managing an exit. Past funds have averaged a net annual internal rate of return above 20 per cent. Jeremy Curnock Cook is an industry veteran with more than 30 years of experience in healthcare investing
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