IBJNews

Health care VC slows in 2011

Back to TopCommentsE-mailPrintBookmark and Share

The number of deals and dollars invested by venture capitalists in Hoosier health care companies declined during the first half of the year, according to the latest data from Cleveland-based BioEnterprise.

Four companies attracted more than $10.5 million, according to BioEnterprise, which promotes the growth of life sciences companies in the Cleveland area.

Those results were down from 10 companies that attracted $18.5 million during the first half of 2010.

Indiana is part of a larger trend in which life sciences firms have increasingly found their next round of financing from a larger health care company, rather than from institutional investors.

“While the number of companies funded remains high and similar to prior years, the total dollars invested is down compared to recent years,” Baiju Shah, CEO of BioEnterprise, said in a prepared statement. “This is related to the significant increase in company M&A activity across the Midwest as growth-stage health care firms are increasingly being purchased in strategic transactions rather than pursuing additional financing.”

Across the Midwest, 86 companies have attracted $315 million in venture funding this year, compared with 75 companies that pulled in $412 million during the first half a year ago.

In Indiana, Carmel-based Dormir Inc. attracted $2 million in February to help its roll-up of sleep centers. Also, Indianapolis-based Wellfount Corp. received $6 million from Arboretum Ventures to help it install remotely controlled drug-dispensing machines in nursing homes around the country. And Fort Wayne-based BioPoly LLC secured $2.5 million to bring new orthopedic products to market.

Indiana’s numbers are somewhat low because Indianapolis-based BioCritica, which is licensing the severe sepsis drug Xigris from Eli Lilly and Co., also attracted venture capital, but the amount has not been disclosed.

To see the BioEnterprise report, go here.

 

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. I never thought I'd see the day when a Republican Mayor would lead the charge in attempting to raise every tax we have to pay. Now it's income taxes and property taxes that Ballard wants to increase. And to pay for a pre-K program? Many studies have shown that pre-K offer no long-term educational benefits whatsoever. And Ballard is pitching it as a way of fighting crime? Who is he kidding? It's about government provided day care. It's a shame that we elected a Republican who has turned out to be a huge big spending, big taxing, big borrowing liberal Democrat.

  2. Why do we blame the unions? They did not create the 11 different school districts that are the root of the problem.

  3. I was just watching an AOW race from cleveland in 1997...in addition to the 65K for the race, there were more people in boats watching that race from the lake than were IndyCar fans watching the 2014 IndyCar season finale in the Fontana grandstands. Just sayin...That's some resurgence modern IndyCar has going. Almost profitable, nobody in the grandstands and TV ratings dropping 61% at some tracks in the series. Business model..."CRAZY" as said by a NASCAR track general manager. Yup, this thing is purring like a cat! Sponsors...send them your cash, pronto!!! LOL, not a chance.

  4. I'm sure Indiana is paradise for the wealthy and affluent, but what about the rest of us? Over the last 40 years, conservatives and the business elite have run this country (and state)into the ground. The pendulum will swing back as more moderate voters get tired of Reaganomics and regressive social policies. Add to that the wave of minority voters coming up in the next 10 to 15 years and things will get better. unfortunately we have to suffer through 10 more years of gerrymandered districts and dispropionate representation.

  5. Funny thing....rich people telling poor people how bad the other rich people are wanting to cut benefits/school etc and that they should vote for those rich people that just did it. Just saying..............

ADVERTISEMENT