Startups, BioPharma

Aisling Capital launching fourth, $400M life sciences fund

The private equity firm’s fourth fund has a hard cap of $500 million. It has a vast portfolio in the life sciences, including Cidara Therapeutics, T2 Biosystems and Seragon Pharmaceuticals.

Aisling Capital, a life sciences-focused private equity firm, is raising $400 million for its fourth fund, with a hard cap of $500 million, Fortune reports.

The New York firm has a vast portfolio of healthcare and life sciences startups, with some notable players including antifungal immunotherapy player Cidara Therapeutics; the much buzzed-about sepsis diagnostics maker T2 Biosystems; and Seragon Pharmaceuticals, which was acquired by Roche last year for $1.7 billion. It also had a healthy exit with Aimmune Therapeutics, which makes immunotherapy products for food allergies. It went public last week and has a $1 billion valuation.

 

A document published on the Pennsylvania Public School Employees’ Retirement System indicated the fund has a $500 million hard cap, and that PSERS will commit $50 million.

This fund is actually smaller than its third, which launched in 2009 and raised $650 million. This could stem from a bit of a leadership shakeup, as Fortune points out: “One explanation might be that the core team is a bit smaller, with founder Dennis Purcell transitioning into a senior advisor role and the recent departures of partners Anthony Sun and Brett Zbar,” it says. The firm just hired Scott Braunstein, a senior VP at Pacira Pharmaceuticals, as its operating partner.

Aisling Capital’s internal rates of return for its previous three funds have been fairly strong:

  • Fund 1 (2002), 20%
  • Fund II (2005), 5.9%
  • Fund III (2008), 25.3%

There’s no record yet of Aisling Capital’s fourth fund in any SEC filings. The company has yet to respond to MedCity News outreach for comment.

[IMAGE: Flickr user AMagill]