October 28, 2016
By Mark Terry, BioSpace.com Breaking News Staff
It’s clear that Boston is a big center of biotechnology. What that also means is a big center for venture capital. The Boston Business Journal noted the 11 top companies for VC dollars this year. Let’s take a look.
Vedanta Biosciences, based in Cambridge, Mass., focuses on developing a class of therapeutics that modulate the interaction between the human microbiome and the host immune system. In June, the company raised $50 million in new equity investments. New investors Rock Springs Capital, Invesco Asset Management, and Health For Life Capital (Seventure) were joined by PureTech. The Boston Business Journal indicates they raised a total of $170 million this year.
Mersana Therapeutics, also located in Cambridge, focuses on antibody drug conjugates (ADCs) based on its proprietary Fleximer technology. In June, the company completed a Series C financing round for $33 million. It was led by new investor Wellington Management Company, and joined by Cormorant Asset Management, Arrowpoint Partners, and Takeda Pharmaceutical Company . Existing investors were NEA and Rock Springs Capital. The BBJ indicates it raised $203.3 million this year.
3. Quanterix
Quanterix is based in Lexington, Mass. The company develops high-definition diagnostics tools. Its Simoa platform utilizes single molecule measurements to access previously undetectable proteins. In March, it raised $46 million in Series D funding. It was led by three new strategic investors, ARCH Overage Fund, Cormorant Asset Management and Trinitas Capital. It had participation from existing investors, ARCH Venture Partners, Bain Capital Ventures, Tufts University and David Walt. Hercules Capital also participated. BBJ lists it with $206.14 million in capital raised.
4. Fractyl
Fractyl is also headquartered in Lexington. The company focuses on metabolic diseases such as type 2 diabetes and nonalcoholic fatty liver disease and nonalcoholic steatohepatitis, which are the result of insulin resistance. In November 2015, the company raised $57 million in Series C. A new investor was Deerfield Management Company, joined by existing investors Mithril, General Catalyst, Bessemer Venture Partners and Domain Associates. Total funds raised are $238.54 million.
5. Constellation Pharmaceuticals
Constellation Pharmaceuticals is headquartered in Cambridge, Mass. The company focuses on epigenetic regulators, which may be used to turn specific genes on or off. In December 2015, the company completed a $55 million mezzanine round of financing. It was co-led by Topspin Partners. New investors participated, but were not identified. Existing investors included Third Rock Ventures, The Column Group, Venrock and SR One. Total funds raised hits $246.63 million.
Mitra Biotech is based in Woburn, Mass. It has CANScript, a novel functional assay developed for high sensitivity assessment of tumor response to chemotherapy drugs. The company’s last funding was in September, for $27.4 million. Total funding is $250 million. Active investors include Accel Partners, Department of Biotechnology, RA Capital Management, Sands Capital Ventures, Sequoia Capital, and Tata Capital.
7. TransMedics
TransMedics is located in Andover, Mass. The company develops technology related to organ transplants, including a portable warm blood perfusion system. In May, the company closed on a $52.1 million growth equity financing round. It was co-led by Fayerweather Fund, Pharmstandard International SA represented by InBio Ventures, Ervington Investments, and BioStar Ventures. Existing investors Abrams Capital, Lung Biotechnology PBC, Flagship Ventures and KPCB also participated. Total valuation is $302.2 million.
Jounce Therapeutics is also based in Cambridge. The company is an immuno-oncology company. In September, it announced that it had enrolled its first patients in its Phase I/II clinical trial of JTX-2011 in advanced solid tumors. Jounce has a valuation of $361.24 million. Its last funding round was in July for $36 million. Active investors include Casdin Capital, Celgene, Cormorant Asset Management, Foresite Capital Management, Nextech Invest, Omega Funds, Pharmstandard, Redmile Group, Third Rock Ventures, and Wellington Management.
Seven Bridges Genomics is also headquartered in Cambridge. Seven Bridges is a biomedical data analysis company, with a scalable, cloud-based Seven Bridges Platform that allows researchers to analyze millions of genomes in concert with other types of biomedical data. In October, the company announced that the National Cancer Institute (NCI) had extended the statement of work for its Cancer Genomics Cloud (CGC) pilots, part of which was to integrate the Seven Bridges CGC with the NCI’s Genomic Data Commons (GDC). The company’s last funding round was in February for $45 million. Its valuation totals $410.28 million. Active investors include Genomics England, Kryssen Capital, and the UK Department of Health.
10. Ginkgo BioWorks
Ginkgo BioWorks is based in Boston. The company designs custom microbes used in various manufacturing processes. The company’s valuation is $524.6 million and its last funding round was in June for $100 million. It has a lengthy list of investors that includes Allen & Company, Azure Capital Partners, Baillie Gifford, Bodley Group, Cascade Investments, ChinaRock Capital Management, the Defense Advanced Research Projects Agency (DARPA) and many others.
Moderna Therapeutics is based in Cambridge. The company is developing a new class of drugs using messenger RNA (mRNA). Moderna has partnerships with Merck & Co. , Vertex , AstraZeneca , and Alexion Pharmaceuticals . It also has funding from the Biomedical Advanced Research and Development Authority (BARDA) and DARPA. Its latest funding was in September, for $474 million. It has a valuation of $4.7 million. Active investors are numerous, and include Alexion Pharmaceuticals, AstraZeneca, the Bill & Melinda Gates Foundation, Boston Medical Investors, Flagship Ventures, and many others.
