Luck and unicorns? Who needs that? Santé Ventures’ new $250M fund is looking for biotech upstarts
A Texas-based venture group with a yen for biotechs traveling off the beaten path has raised a new $250 million fund to continue its journey.
Santé Ventures in Austin says it expects to make 20 to 25 new investments with this new fund, which added the Pennsylvania Public School Employees’ Retirement System to its list of institutional backers. And they’re looking to jump in early — anywhere from seed to Series B.
If you hadn’t heard of Santé before, that may be because they don’t compete much with the VC bunch in Boston and the Bay Area. Its list of portfolio companies includes several biotechs in its own back yard, including Iterion, Lumos and Molecular Templates.
Founder Kevin Lalande clearly isn’t cut out of the Flagship mold, as he makes clear in a prepared statement:
Over the last decade we have proven and continued to refine our unique portfolio strategy, which is designed to engineer the luck out of fund-level venture capital returns. Our multi-disciplinary investment team partners with exceptional entrepreneurs to build innovative companies with the potential to deliver better health outcomes at lower total cost, without relying on exits at unicorn valuations to generate attractive returns for our investors.
The current wave of IPOs has helped fuel a renaissance in life sciences venture capital, with VCs of every stripe enjoying some big returns in the middle of a long-running IPO boom. Here’s another player that thinks it can do well with its own contrarian approach.
Image: Austin, TX Shutterstock