Partners HealthCare System has increased its beginning-stage fund into a $171 million investment driver. The Boston-based hospital system executed the increase in scale by calling on outside supporters including Eli Lilly, which collectively expelled $66 million into the fund. Astellas Pharma and China’s ShangPharma and Simcere Pharmaceutical joined Lilly in the group of drug companies that are set to invest in the fund.
The contributions provided added to the $105 million Partners Innovation Fund, which was already collected through notable institutions like The Brigham and Women;s Hospital and Massachusetts General Hospital. The two mainstays of healthcare in the region contributed a total of $50 million.
Now, Partners Innovation Fund has more money than ever to carry out an investment strategy that has served it successfully since it’s creation in 2008 with $35 million. The Partners Innovation Fund has focused solely on investing in innovations created at establishments within the Partners network, such as BWH and MGH. The limited supply has proved to be a large seam of companies. The fund lists include CRISPR innovator Editas Medicine, immuno-oncology startup CoSTim Pharmaceuticals and inflammatory disease institution Adheron.
Editas went public in 2016 with an IPO of $94 million. Over the previous two years, CoStim and Adheron were obtained by Novartis and Roche. Roche paid $105 million and committed up to $475 million more to get Adheron. Meanwhile, Novartis did not release how much they paid for CoStim. The successes have allowed money to be reinvested into the fund and get the attention of organization from outside the healthcare system. Partners Innovation Fund is now seeking its next group of investments for more paydays.
Heavily funded Alzheimer’s startup Denali Therapeutics, newly-public anti-infectives group Spero Therapeutics and 2017 Fierce 15 recipient Magenta Therapeutics are among a group of 32 companies the fund has supported.