Startups

Philly healthcare and life science investment firm 1315 Capital raises $300M+ for second fund

The investment firm plans to invest $10 million to $30 million in specialty pharma, and medtech companies.

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A Philadelphia venture capital firm 1315 Capital, which focuses on early to mid-stage investments primarily for pharma and medtech companies, has made the first close for its second fund, raising more than $300 million.

The firm’s fund 1315 Capital II made its first close. It plans to invest $10 million to $30 million in specialty pharma, healthcare services and medtech companies. Another wrinkle to its strategy is to create companies by forming management teams around acquired or licensed technology, which it refers to as “jumpstarts”. Half of its eight investments took this form, including CHC Solutions, Encore Dermatology, Genoptix, and Onkos Surgical.

Among its portfolio companies are Geneoptix, an oncology molecular diagnostics business; Innovative Health seeks to reduce costs for reprocessing single-use medical devices; and orthopedic oncology business Onkos Surgical.

Founding partner Adele Oliva also serves as a managing partner at Quaker Partners

Asked where the company may be thinking of investing next, Oliva flagged cost containment as one area of interest in response to emailed questions.

“We are pro-actively looking at theme-based investment opportunities within ophthalmology, veterinary health, and addiction treatment. Other areas that we look at that we have already invested in include aesthetics and cost containment.”

Oliva noted that although its investment strategy is national in scope, it regards the Philadelphia-New Jersey region as a strong source of commercial management talent in the areas it invests. The management teams for the companies it “jumpstarts” each have ties to the region.

The close of 1315 Capital II brings the firm’s assets under management to more than 500 million. Its standing as a healthcare and life science investment firm in the region is particularly strong at a time when Safeguard Scientifics faces an uncertain future and Quaker Partners is no longer investing in new portfolio companies.

Photo: D3Damon, Getty Images

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