16 January 2023: British Patient Capital and Mubadala Investment Company (Mubadala), an Abu Dhabi-based sovereign investor, today announced their investment into the SV Biotech Crossover Opportunities Fund (SV BCOF). The co-investment between the two entities is being made through the UK’s Life Sciences Investment Programme (LSIP), which was launched in 2021 to support the growth of UK life sciences businesses.
Managed by SV Health Investors, SV BCOF is targeting growth-stage, biotechnology companies developing transformative therapies. The fund has a significant focus on the UK and aims to invest in businesses that have the potential to positively impact society by addressing major unmet clinical needs. British Patient Capital is a cornerstone investor in the fund and has committed a total of $48.6m.
To date, six investments have been completed through SV BCOF, including four into UK-based companies: Bicycle, a company developing a brand-new class of precision-guided therapeutics to target intractable cancers; Quell Therapeutics, a specialist in engineered T-regulatory cell therapies for serious medical conditions driven by overactivity of the immune system; Pulmocide, a biopharmaceutical company treating common but hard-to-treat respiratory infections; and EyeBio, which is developing a new generation of therapies for eye diseases to protect, restore, and improve vision for people who are underserved by available therapies. Nimbus Therapeutics, one of the fund’s portfolio companies, has also recently announced the sale to Takeda of an asset which addresses multiple immune-mediated diseases. The agreement represents Takeda’s largest ever single-asset purchase with Nimbus to receive $4bn upfront and a potential further $2bn in commercial milestone payments.
Catherine Lewis La Torre, CEO of British Patient Capital, said: “The UK is a world leader in life sciences. The discovery and development of new drugs, vaccines, and cell and gene therapies have placed the UK at the frontier of responses to global challenges such as the Covid-19 pandemic, ageing populations and the provision of sustainable healthcare. Yet there is a clear lack of later-stage funds investing consistently at scale into the life sciences sector, which means some of our most promising businesses are either acquired early or forced to move elsewhere.
The Life Sciences Investment Programme was established to address this gap, and I am delighted to announce this investment into the SV Biotech Crossover Opportunities Fund. This is the first growth stage biotech vehicle managed by SV Health Investors, a firm which has a long track record in supporting dynamic life sciences businesses. By investing in this fund, British Patient Capital is backing innovation and helping to ensure that the UK’s high-potential biotech companies are able to fulfil their potential at home, supporting the UK’s position as a science superpower.”
Mohammed Al-Huraimel Al-Shamsi, Head of UK Investment Programme, Mubadala, said: “Healthcare innovation is a critical priority which can be addressed with a global investment approach. We are pleased to announce our next investment through our life sciences programme, launched to support the development of new technologies, research and talent to advance the UK’s life sciences sector. This investment is an important part of our strategy to offer much needed support for next generation innovative life sciences businesses that have the potential for significant and sustainable growth. SV Health Investors is a market leader in its sector with its differentiated proposition and impressive track record, and is a welcome addition to Mubadala’s growing portfolio in the UK. We look forward to supporting this ambitious team on their next phase of growth.”
Houman Ashrafian, Managing Partner, SV Health Investors, said: “SV BCOF represents an extension of our existing strategy and the investments made by the Fund will aim to boost high potential companies, supporting them in generating the clinical data required to deliver life changing therapeutics to patients with high unmet medical needs. SV is able to provide this support thanks to our expert and proven team of life sciences entrepreneurs including the industry veterans who make up our Venture Partner network. Our work is also made possible by our valued investors. We remain grateful to British Patient Capital for their continued support of SV and we are excited to welcome Mubadala as a new LP into SV BCOF.”
The Life Sciences Investment Programme (LSIP) is a £200m initiative managed by British Patient Capital designed to address the growth equity finance gap faced by high-potential UK life sciences companies. This is expected to attract at least a further £400m of private investment. Through LSIP, we make cornerstone commitments to later stage life sciences venture growth funds with a strong UK focus, typically investing between £50m and £100m in each successful fund.
About British Patient Capital
British Patient Capital Limited is a wholly owned commercial subsidiary of British Business Bank plc, the UK government’s economic development bank. Its mission is to enable long-term investment in innovative firms led by ambitious entrepreneurs who want to build large-scale businesses. Launched in June 2018, British Patient Capital has more than £3bn of assets under management, investing in venture and venture growth capital to support high growth potential innovative UK businesses in accessing the long-term financing they require to scale up. Find out more here.
British Business Bank plc and its subsidiary entities are not banking institutions and do not operate as such. They are not authorised or regulated by the Prudential Regulation Authority (PRA) or the Financial Conduct Authority (FCA). A complete legal structure chart for British Business Bank plc and its subsidiaries can be found on the British Business Bank plc website.
British Patient Capital makes commitments and invests on its own behalf and on behalf of third-party investors whose investments British Patient Capital manages.
The transaction described above does not constitute or imply any endorsement, warranty or recommendation by the UK government, the British Business Bank plc, its subsidiaries or any other party of SV Health Investors or its products or services.
About MubadalaInvestment Company
Mubadala Investment Company is a sovereign investor managing a global portfolio, aimed at generating sustainable financial returns for the Government of Abu Dhabi. Mubadala’s $284bn (AED 1045bn) portfolio spans six continents with interests in multiple sectors and asset classes. We leverage our deep sectoral expertise and long-standing partnerships to drive sustainable growth and profit, while supporting the continued diversification and global integration of the economy of the United Arab Emirates.
About SV Health Investors
SV Health Investors is a leading healthcare fund manager committed to investing in tomorrow’s healthcare breakthroughs. The SV family of funds which includes funds dedicated specifically to biotech and dementia, invests across stages, geographic regions, and sectors, with expertise spanning biotechnology, dementia, healthcare growth, healthcare technology and public equities. With approximately $2.7 billion in assets under management and a truly transatlantic presence with offices in Boston and London, SV has built an extensive network of talented investment professionals and experienced industry veterans. Since its founding in 1993, SV has invested in, created and built more than 200 companies attracting global talent, entrepreneurs and pharma partners. To date, these investments have resulted in the licensing of 20 novel drugs and six new drug classes able to treat indications with unmet medical needs and deliver positive impact to patients. For more information, please see www.svhealthinvestors.com.