Angel Network Formed to Invest in Early-Stage Life Science Companies
Monday, February 9, 2015
Posted by: Maria Thacker
ATLANTA--(BUSINESS WIRE)--The Bio/Med Investor Network today announced its formal launch and inaugural Board of Directors. Formed in late 2014, the Network will focus on early-stage investments in bioscience, medical technologies and digital health companies. The Network is supported by Georgia Bio, the Georgia Research Alliance and each of the state’s research universities. Investment targets will include Georgia-based companies typically seeking between $200k and $2M, but the Network is also evaluating investment opportunities throughout the United States.
“Bioscience companies seeking early-stage capital have specialized needs and currently limited options,” said Ed Schutter, CEO of Atlanta-based Arbor Pharmaceuticals. “The Bio/Med Investor Network will not only offer an experienced pool of successful investors, but will also provide companies with experts in their field to guide them through their fundraising.”
The inaugural Board of Directors will serve as advisors to the Network by recruiting accredited angel investors and screening applicants for investment consideration. Directors include long-term angel and venture capital investors, practicing physicians and successful biosciences and healthcare executives. The Network launches with approximately 40 initial investor/members and expects to grow to over 70 investor/members within the next few months.
“Our members are committed to a disciplined, professional approach to evaluating investment opportunities and managing the investment process,” said Dr. Jay Yadav, an internationally recognized interventional cardiologist and the founder of CardioMEMS, which was recently acquired by St. Jude Medical for $460M. “Biosciences and other such healthcare innovation companies must raise millions of dollars to guide them through R&D, clinical trials and prototyping before their product can reach the marketplace. Angel investors fill the gap between initial grants and “friends & family” funding and later-stage institutional investors and strategic partners.”
The Network also announced that it has joined the national Angel Capital Association (ACA) to fuel its investments in local entrepreneurial bioscience startups. “As members of the Angel Capital Association our angel investor members can access and leverage the latest investing best practices, new industry data, and a network of industry experts and potential syndication partners,” said Russell Allen, president and CEO of Georgia Bio.
“We are pleased to welcome Bio/Med Investor Network as a member of the Angel Capital Association and look forward to working with them as they invest in startups and grow the kinds of companies that are vital to a sustainable economy,” added ACA Executive Director Marianne Hudson.
Angel groups fill an important funding niche between informal investors from family and friends, and formal venture capital. The number of angel organizations has more than tripled since 1999, reaching nearly 400 in the United States in 2013. Recent estimates from the Center for Venture Research report that angel groups provided $24.8 billion in start-up financing to nearly 70,730 ventures in 2013.
“An increasing number of individuals are looking at collaborative investing in high-potential startup companies through angel groups as an attractive investment option,” said John Huntz, experienced investor and chairman of Manhattan Associates. “Angel groups enable individual investors to pool expertise and capital to support early stage ventures.”
About Bio/Med Investor Network
The Bio/Med Investor Network was formed in 2014 to address the need for funding in early-stage bioscience and healthcare companies. Network members are accredited angel investors specializing in these fields to provide a high level of scrutiny and guidance for growing companies. The Network is based in Atlanta, Georgia with about 40 investor/members. More information can be found at www.biomedinvestors.com.
About the Angel Capital Association
The Angel Capital Association is the leading professional and trade association focused on fueling the success of accredited angel investors and portfolio companies in high-growth, early-stage ventures. ACA is the voice of the angel industry, providing comprehensive services in support of members working in angel groups, through portals and individually. ACA provides professional development, public policy advocacy and significant benefits and resources to its membership of 220 angel groups and platforms and more than 12,000 individual accredited investors. More information can be found at www.angelcapitalassociation.org
Bio/Med Investor Network
Angela King, 404-334-7535