accelerator overview at bioasia
DESCRIPTION
Accelerator Overview By Carl WeissmanTRANSCRIPT
accelerator
Accelerating the development of the next generation of life-enhancing biotechnologies
04/12/2023
accelerator 04/12/2023
Overview: Accelerator
Mission:Efficient and disciplined
IdentificationEvaluationCapitalization; and,Development
of emerging biotechnologies
Focus: Quality of dealsCapital efficiencyBandwidth efficiencyMilestone achievement
Path:Provide key ResourcesLeverage unique Sources
accelerator 04/12/2023
Institute for Systems Biology (ISB)Lee Hood
ARCH Venture PartnersSteve Gillis
OVP Venture PartnersChad Waite, Carl Weissman
Amgen VenturesJanis Naeve, Andrew Gengos
PPD, Inc.Fred Eshelman
WRF CapitalThong Le
Alexandria Real Estate EquitiesJoel Marcus
Accelerator Stakeholders
accelerator 04/12/2023
Accelerator: Summary of Highlights
Ten investments since 2003Diverse portfolio – multiple therapeutic areas and clinical diagnostics
>$187M raised to back Accelerator companies
>$35M in Series A investments in first ten companies$7.9M to expand activities in early successes
Spaltudaq: $2.9M Series A-2Allozyne: $3.0M Convertible NoteSeredigm: $2.0M ($2.0M from Accelerator insiders) – June 2008
$144M in Series B investments in four graduatesVLST: $55M ($34M from Accelerator insiders) – June 2006Spaltudaq: $29M ($14M from Accelerator insiders) – March 2007Allozyne: $30M ($30M from Accelerator insiders) – October 2007Integrated Diagnostics: $30M (new investors) – August 2009
accelerator 04/12/2023
Accelerator: Summary of Highlights
$44.3M Committed for Investments$22.5M committed in Accelerator III (7/2007 - $13.9M invested)$11.8M committed in Accelerator II (11/2004 – fully invested)$10.0M committed in Accelerator I (5/2003 – fully invested)
Capital EfficiencyMaintained low operational burnPush technologies/companies further on fewer $’s
Bandwidth EfficiencyMultiple investments for the effort of oneOne management team with whom to interact
Proprietary DealflowOf the ten deals, only one (Allozyne) was shopped extensively in the venture community
accelerator 04/12/2023
Accelerator: Summary of Highlights
Company
Space
Accelerator Series A
Investment Date
Graduation
Series B
XORI Antibody development platform
$4.4M Q2 2009 Q3 2011
Mirina microRNA inhibition $3.5M Q3 2008 Q2 2010
PharmSelex In-silico drug design $4.5M Q2 2008 Q1 2010
Recodagen Oncology $1.5M Q2 2008 NA NA
Seredigm Anti-apoptosis $4.5M Q2 2006 NA NA
Allozyne Improved biotherapeutics $3.4M Q4 2005 Q4 2007 $30M
InDi Biomarker Discovery $5.0M Q3 2005 Q3 2009 $30M
Spaltudaq Oncology $2.0M Q4 2004 Q2 2007 $29M
VLST Autoimmunity/ Inflammation $4.8M Q2 2004 Q2 2006 $55M
VieVax Vaccines $1.6M Q1 2004 NA NA
accelerator 04/12/2023
Sources
World-class sources of proprietary deal flow unmatched in access to the most exciting emerging biotechnologies
Four primary categories of SourcesISB technologyReferenced by ISBReferenced by InvestorsAccelerator
Proprietary deal flowOf the ten investments made through Accelerator, only one (Allozyne) was widely seen in the venture community
accelerator 04/12/2023
Sources: ISB
Lee Hood – President & Co-FounderFounder of Integrative DiagnosticsFounded or Co-founded:
Integrative DiagnosticsApplied BiosystemsSyStemixDarwinRosetta Inpharmatics
World Class FacultyCo-founders
Ruedi AebersoldAlan Aderem
Up-and-coming young faculty
Prolific generator of commercial opportunitiesSince founding in 1999, has spun out or formed:
CytopeiaMacrogenicsNanostringIntegrative Diagnostics (InDi)
Accelerator Companies Sourced
Integrative Diagnostics
accelerator 04/12/2023
Sources: Referenced by ISB
“Moths to a porch lamp”Lee, Ruedi, Alan, et. al. attract entrepreneurs looking for:
Advice/ConsultingService on their SABIntroductions to VC’s
Prior to Accelerator, no formal place to direct these emerging opportunities
Accelerator Companies Sourced
Seredigm Corp.
VieVax Corp.
accelerator 04/12/2023
Sources: Referenced by Investors
“Too Early”Biotech venture firms still see high quality early-stage opportunities
Accelerator syndicate has global reach
Top-tier investorsExtensive networks
Accelerator Companies Sourced
Allozyne, Inc.
Spaltudaq Corp.
accelerator 04/12/2023
Sources: Accelerator
“Push”More than 600 unsolicited business plans since 2003 inception
“Pull”Accelerator management is well connected in biotech and venture capital communities
Accelerator Companies Sourced
VLST Corp.
Recodagen Corp.
Mirina Corp.
PharmSelex Corp.
XORI Corp.
accelerator 04/12/2023
Resources
In one entity, all of the resources necessary to give emerging
biotechnology start-ups the greatest likelihood of success:
Scientific Expertise & Technical SupportVenture CapitalManagement Facility
accelerator 04/12/2023
Resources: Scientific Expertise & Support
ISBWorld class faculty and staff available to assist in:
IdentificationEvaluationDevelopment
Core FacilitiesExcess capacity in expert-operated core facilities available to Accelerator companies
Investor NetworkCadre of scientific advisors and other connections to thought leaders in virtually any area of interest
accelerator 04/12/2023
Resources: Venture Capital
Not just $’s, but value added $’sProven track record for building great companiesExtensive network within pharma and biotech to make appropriate partnership introductionsExtensive network within venture capital to enable high quality syndication in future roundsDeep pockets to enable participation all the way to the finish line
accelerator 04/12/2023
Resources: Management
All non-technical functions including:AdministrationBusiness Development FinanceHuman ResourcesOperations
Pre-negotiated contracts with key service providers:Audit/Tax – PricewaterhouseCoopersFacility Maintenance – Alexandria Real Estate EquitiesInsurance – AH&T, Inc.Legal
Corporate counsel – Foster Pepper, Goodwin Procter, FenwickIntellectual Property – Seed IP
Network Administration – IS OutsourceProfessional Development – Nofsinger Group401k – Acumen Financial
accelerator 04/12/2023
Resources: Facility
Ideal Location1616 Eastlake Avenue E., Seattle, WA 981025-10 minute drive to the ISBEmerging South Lake Union biotech hub
Thoughtful DesignEfficient use of 18,000 sf of space to:
Foster synergistic interactions between companiesProtect proprietary nature of individual technologiesFlexibly adapt to changing space requirements
Eliminate start-up lag timeDesigned to enable companies to do science on Day 1
accelerator 04/12/2023
Accelerator Candidates
Leading-edge biotechnology which would benefit from access to Accelerator Resources:
ISB Venture CapitalManagementFacility
“Too Early”Technology not sufficiently developed to attract significant top-tier venture capital independently
Milestones within reachIdentifiable fundable MilestonesClear R&D Plan to reach MilestonesTimeline and Budget that relate to that Plan
Driven Innovators, brilliant Innovations“Old School” technology-based investment
accelerator 04/12/2023
Accelerator: Investment Process
Rigorous technical and IP due diligenceTap into world leading scientific and industrial experts at ISB and network of scientific advisors affiliated with the InvestorsUtilize Seed IP, successful boutique IP firm in Seattle, to provide IP due diligenceSatisfy investment criteria of all Accelerator Investors
Milestone-based investmentsIdentify financeable Milestones Structure R&D plan to fit milestonesBuild budget & timelines to match R&D plan
Standard Series A Preferred Stock investments with customary terms
accelerator 04/12/2023
Summary
Vehicle for Emerging Biotech InvestmentCapital efficientBandwidth efficientFocused development (milestone achievement)Disciplined assessment
World-Class StakeholdersTop-tier syndicateAnchored by Institute for Systems Biology
Track Record>$44M committed for investments ($35M invested)>$187M invested in Accelerator Companies
accelerator
Accelerator: Then and Now…
2003
Biotech incubators miserable failures
$10M committed
0 companies
Accelerator (one of a kind)
Today
Accelerator working (others in the making)
$187M invested
10 companies
Accelerators
04/12/2023