This week's lab notes has items on two venture fund closings, an honor for the former leader of the Biotechnology Innovation Organization, the completion of a South Jersey biotech company's asset sale and more.

Here is the roundup:

1315 Capital

The Center City-based private investment firm has closed two funds totaling more than $500 million for investments in health care companies.

The final closes by 1315 Capital for its 1315 Capital III fund and its 1315 Capital Emerging Growth and Buyout fund exceeded their targets of $350 million and $150 million, respectively.

Both funds will target investments in commercial stage health care businesses that have the potential to scale to $50 million to $150 million in revenue. The two funds give 1315 Capital the flexibility to invest between $5 million and $40 million in minority or majority transactions.

Adele C. Oliva, founding partner of 1315 Capital, said both funds involve existing and new investors and include commitments from endowments, foundations, public and private pensions, business entities, and family offices.

"From the inception of the firm, our goal has been to target high quality management teams that can rapidly scale health care companies into large and important businesses that positively impact patients, providers, and the broader health care system," said Michael Koby, also a founding partner at 1315 Capital.

1315 Capital co-founder Michael Koby

The firm, which as a team of 10 investment professionals, has invested in 26 companies since its inception. It has more than $1 billion in assets under management.

Vyant Bio

The Cherry Hill, New Jersey, biotechnology company finalized the sale of substantially all of its assets after a months-long winding down of operations and the implementation of a workforce reduction plan initiated in February.

Under the terms of the deal signed in mid-July, Vyant (OTC: VYNT) agreed to sell all of its microBrain-associated assets of its StemoniX subsidiary to AxoSim for $2.25 million, of which $1.1 million will be paid when the transaction closes. The remaining $1.15 million will be based on achieving undisclosed milestones. Vyant's StemoniX microBrain technology is used to develop live in vitro models of human brain and nerve structures that are applied to drug discovery, imaging and screening. Vyant's StemoniX subsidiary is based in Minnesota. StemoniX's manufacturing plant and scientific staff will become part of AxoSim if the deal is consummated. New Orleans-based AxoSim, which specializes in developing human biomimetic platforms for neurological diseases, will assume about $1.2 million in future lease-related liabilities.

Vyant's Bio's special meeting last week, where shareholders approved the sale, was adjourned without shareholders voting on the company's pending voluntary liquidation and dissolution plan supported by the company’s board of directors. The adjourned special meeting will reconvene on Nov. 1 to take up the liquidation proposal.

Last year, Vyant sold its Hershey-based subsidiary vivoPharm, a contract research organization that provides clinical trial management services to drug developers, to Malvern-based Reaction Biology Corp. for $5.5 million.

Pennsylvania Biotechnology Center

The Hepatitis B Foundation, Baruch S. Blumberg Institute and Pennsylvania Biotechnology Center honored Jim Greenwood, a former U.S. Congressman representing Bucks County and former CEO of the industry trade organization Biotechnology Innovation Organization, or BIO, by adding his portrait to their Public Service Wall of Fame.

During a ceremony earlier this month, Timothy M. Block, co-founder and former president and board chairman of the foundation, institute and biotech center all based in Doylestown, thanked Greenwood for being a key supporter since the early days of the Hepatitis B Foundation, which was the three organizations’ starting point.

Jim Greenwood, former Congressman and former CEO of industry trade organization Biotechnology Innovation Organization

BIO

“As a member of Congress, Jim Greenwood was a champion of our cause on Capitol Hill, where he opened many doors for us," Block said. "When we were creating an incubator, Jim, always an environmentalist, encouraged us to choose an adaptive reuse, repurposing an existing facility rather than building new on open space, which is so highly valued here in Bucks County."

The Pennsylvania Biotechnology Center on old Easton Road was created at the site of an empty 62,000-square-foot warehouse.

Greenwood currently is senior policy advisor and chair of the Life Sciences Policy Advisory Group at the law firm DLA Piper. He was a member of the Pennsylvania House of Representatives for the 143rd district from 1981 to 1986 and the Pennsylvania Senate for the 10th district from 1987 to 1993. In 1992, Greenwood was elected to the U.S. House of Representatives representing Pennsylvania's 8th district, a seat he held until 2005 when he resigned to join BIO.

Quick hits

Onconova Therapeutics (NASDAQ: ONTX) has expanded its leadership team with two now hires. Dr. Victor Moyo has joined the Newtown biopharmaceutical company as chief medical officer. Moyo previously held leadership roles at Merrimack Pharmaceuticals and Centocor Ortho Biotech Services. Meena Arora has also joined Onconova as vice president for global medical affairs and research and development. She was previously vice president and head of global medical affairs at Amryt Pharma. Onconova is focused on discovering and developing therapies for patients with cancer. … Virion Therapeutics of Philadelphia and its joint venture partner, Ocean Biomedical (NASDAQ: OCEA) said the first patients have been dosed in the phase 1b clinical trial of its investigational VRON-0200 immunotherapy, which is being evaluated as a functional cure for patients with chronic Hepatitis B virus. Initial study results are expected in early 2024.

Author: John George

Publication: Philadelphia Business Journal

Link: PHL Inno - Lab Notes: Philadelphia health care investment firm closes two funds valued at over $500M (bizjournals.com)