WASHINGTON–(BUSINESS WIRE)–June 20, 2003–Dramatic changes to Australian venture capital tax and fund-raising laws have already paid off with the announcement today that a leading US VC firm islaunching a USD$200 million biotech fund to take advantage of the fast growing Australian biotech sector.
The new fund is being created by San Francisco based specialist biotech VC firm Burrill & Company. Of this, $100 million will be invested in Australia through the Burrill Australia Fund and $100 million globally through the Burrill Life Sciences Capital Fund.
CEO, G. Steven Burrill, said recent reforms to venture capital limited partnerships had made it attractive to have an Australia fund.
Burrill said the new fund would boost the vibrant Australian biotech sector which continues to out perform on a global scale despite limited local VC funds.
“I am looking forward to seeing the Australian biotech companies at BIO 2003 where more than 60 exhibitors and 300 delegates are expected to attend,” said Burrill.
The Burrill Australia Fund would have three local investment managers, three independent directors and an Australian scientific advisory board.
He said there were several local and international factors working in favor of investment in life sciences and biotechnology today.
“A revolution in the sciences had empowered small companies, and the shift in cutting-edge development from big pharmaceutical companies to fast-growing small companies had worked in favor of venture capital investors.”
“This is the time to be a big investor in this industry,” he said.
Invest Australia Senior Investment Commissioner for North America Robert Hunt welcomed the move and said the Government expected more funds to follow suit.
“The Australian VC industry managed to attract the lion’s share of VC investments into the Asia Pacific region last year, overtaking India as the region’s leading investment destination,” Hunt said.
www.investaustralia.gov.au
www.burrillandco.com
Source: Australian Financial Review, Burrill & Co and Invest
Australia
