The large U.S. agbio and medical devices companies have increasingly outsourced innovation and new product development to smaller, more nimble companies. This underpins our investment strategy of identifying and funding and early stage businesses which can create an attractive acquisition target for major players in these industries who require new products for their “Pipeline”. We believe this cycle of investment and the corresponding venture returns to investors to be sustainable for at least the next decade, and possibly beyond.
Our team is comprised of investment professionals and scientific entrepreneurs with a long history of creating value. We are not just investors, we are company and value builders that work in partnership with our Portfolio companies to create superior value. The combination of our knowledge, networks and investment capital gives our portfolio companies an edge in chasing their goals for success.
Our criteria for investment are simple and clear - we seek Early Stage, Innovative, Disruptive technologies, with clear Intellectual Property protection, large and addressable markets, with the potential for significant exit value. We typically (though not exclusively) aim to be a Series A investor and to support the growth of portfolio companies through to exit.
While the agbio/renewable fuels and medical device industries are quite distinct, we believe they share common characteristics in terms of investment payoffs which have earlier exits than Life Sciences/Pharmaceuticals, but still have meaningful intellectual property. Importantly, our team has many years of successfully applied expertise in these industries, and is well-connected in science and business networks that provide both sources of dealflow and co-investors. We also possess a deep understanding of the potential acquirers and strategic investors available to the portfolio company in these industries. Together these factors enable us to mitigate the risks to our investors, and help entrepreneurs grow outstanding new ventures.
The agbiotech and agritech industries are technologically diverse and address global problems that extend far beyond Food. The industry is developing technologies that enhance the quantity, quality, health and functionality of outputs from microbes, plants and animals with technology applications in the energy, pharmaceutical and food safety industries. The segments which Finistere Ventures has specific interest in include:
Finistere Ventures believes Early Stage Investing in the $400 B Medical Devices industry will continue to be a significant growth opportunity for venture investing, due to increasing demand for less invasive and more efficacious treatment being driven by sound demographic factors.
To date, Finistere Ventures has focused on companies in the cardiology and drug delivery systems markets. We are also expanding our scope of interest to include products in the orthopaedics field.
We believe the Healthcare sector in general, and Medical Devices in particular, will continue to offer returns which reward venture investment models. Early stage medical devices companies offer opportunities often over looked by larger funds, and Finistere will continue to focus on this area with a business and investment model that is well suited to helping these businesses realize their potential. More information on trends and players in the Medical device industry can be found at www.devicelink.com