Oberland Capital nabs $1.05B raise for late-stage plays, handing out cash for royalties


Come on in, the water’s warm. After billions already raised by VC firms since the advent of the pandemic for life science companies, Oberland Capital has tossed more than $1 billion into the pot.

This will be added to an increasingly large pile of healthcare cash: At the start of April, Arch Venture Partners raised $1.5 billion in the same week Flagship Pioneering raked in $1.1 billion, followed by venBio Partners nabbing nearly $400 million just days later.

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A month later, and Oberland Capital is joining the party with its $1.05 billion, which it says will focus on biotechs and medtechs in the later stages of development and is the New York-based firm’s third fund.

Specifically, its so-called Solutions Fund will provide capital to biopharmaceutical, diagnostic and medical device companies “advancing products in late-stage clinical development or under review by regulatory authorities.”

Oberland will work the fund by giving up cash in exchange for royalties on the drugs or products once approved and sold.   

“We are very grateful for the support we received from both existing and new investors for this differentiated strategy,” said Andrew Rubinstein, managing partner of Oberland Capital. “Their confidence in our investment team and approach, including our exclusive focus on products that treat serious diseases, is both humbling and motivating.”

The cash injection comes from a  group of “global institutional investors, including public and private pension plans, endowments and foundations, sovereign wealth funds and family offices,” the VC said in a statement.