Summary of Proposed Investment
Project Number
11168
Company Name
The Biotech Venture Partners Fund
Date SPI Disclosed
Aug 17, 2001
Country
South Africa
Industry
other
Projected Board Date
Sep 18, 2001
Status
Completed
Sector
Private Equity/Venture Cap Fund - Sector
Department
Equity Portfolio Management
Environmental Category
FI
Previous Events
Approved : Oct 25, 2001
Signed : Mar 1, 2002
Invested : Mar 22, 2002
Project Description
The primary goal of Bioventures is to provide term risk capital to early stage bioventure enterprises in South Africa that have defined market and export strategies, proprietary or exclusive technologies, and skillful management teams. The targeted biotechnology sectors are:
By investing in Bioventures, IFC will be providing long-term funding to companies which have difficulty accessing such funding through available sources. It will also signal to other providers of funding to consider investing in biotechnology and other sectors which are traditionally considered risky. Success of the Fund would have a demonstration effect to domestic institutional investors and may result in greater allocation of funds to venture capital.
Bioventures, the first biotechnology venture capital fund in South Africa, will be a pioneer in promoting the development of biotechnology expertise in South Africa and will therefore play a role in creating jobs and attracting skills in the sector as well as help reduce the brain drain of skilled manpower out of South Africa. The investee firms would develop stronger management teams and business plans and both the Fund and IFC could eventually contribute to the internationalization of successful ventures. Biotechnology products are considered as easily exportable and therefore could generate hard currency to the national economy. It is expected that IFC would nominate a Director to the Board of Trustees or Governing Board, and thereby contribute to the corporate governance of the Fund.
- Pharmaceuticals and fine chemicals based on natural, animal, fungal or microbial products;
- Healthcare technologies including vaccine development, medical devices, diagnostics;
- Genomics including drug discovery based on genomic information, bioinformatics, tool makers and service providers to the genomic industry;
- Agriculture, floriculture and mariculture that are innovative technologies used to improve current agricultural practices. Individual farming activities will not be invested in;
- Nutraceuticals which is production of enhanced, beneficial foodstuffs often using natural plant products; and
- Biomaterials and bioprocessing including industrial biotechnology for the production of proteins, waste bio-remediation, development of bio-fuels, and others.
By investing in Bioventures, IFC will be providing long-term funding to companies which have difficulty accessing such funding through available sources. It will also signal to other providers of funding to consider investing in biotechnology and other sectors which are traditionally considered risky. Success of the Fund would have a demonstration effect to domestic institutional investors and may result in greater allocation of funds to venture capital.
Bioventures, the first biotechnology venture capital fund in South Africa, will be a pioneer in promoting the development of biotechnology expertise in South Africa and will therefore play a role in creating jobs and attracting skills in the sector as well as help reduce the brain drain of skilled manpower out of South Africa. The investee firms would develop stronger management teams and business plans and both the Fund and IFC could eventually contribute to the internationalization of successful ventures. Biotechnology products are considered as easily exportable and therefore could generate hard currency to the national economy. It is expected that IFC would nominate a Director to the Board of Trustees or Governing Board, and thereby contribute to the corporate governance of the Fund.
Sponsor / Cost / Location
Development Impact
Related ESRS/ERS
Contacts
For Inquiries About the Project, Contact
Dr. Heather Sherwin
Bioventures: Fund Manager
Phone: 011 778 6275 - Johannesburg
Phone: 021 950 2052 - Cape Town
Fax: 011 778 6930 - Johannesburg
Fax: 021 950 2555 - Cape Town
Mobile: 083 260 8307
Email: heathersh@gensec.com
Bioventures: Fund Manager
Phone: 011 778 6275 - Johannesburg
Phone: 021 950 2052 - Cape Town
Fax: 011 778 6930 - Johannesburg
Fax: 021 950 2555 - Cape Town
Mobile: 083 260 8307
Email: heathersh@gensec.com