Xconomy: Foresite Capital Reloads With New $300M Late-Stage Biotech Fund
Summary
Foresite Capital Reloads With New $300M Late-Stage Biotech Fund Xconomy San Francisco — Just a year after plunging $100 million into a plan to back established biotechs and other healthcare companies, rather than bet on risker, nascent ones, Foresite Capital Management is back for seconds, announcing today that it’s closed a new $300 million fund to continue the same investment plan.The San Francisco, CA and New York-based firm, founded and headed by biotech veteran and Theravance (NASDAQ: THRX) co-founder Jim Tananbaum, has formed Foreside Capital II and immediately put some of the $300 million its funded with to use.“Intarcia is a perfect example of what we look for; the management team led by Kurt Graves is exceptional, it has a Phase III asset that is revolutionary and it has the potential to dramatically reshape the treatment of Type II diabetes,” Tananbaum said in a statement.“Universal American is another example of a classic Foresite investment with strong leadership, significant existing value and validation, and a prime position to lead the transition of care in the Medicare population.” The shrinkage of biotech venture capital has been well documented, but the few firms that have survived the storm have been able to put new funds together of late.“Healthcare is an enormous segment of the US economy and we are grateful for the strong interest from our existing and new investors who value our investment strategy.”