OrbiMed launches $600M fund for royalty, debt deals

OrbiMed, a big venture investor in the biotech industry, has assembled a $600 million fund to lure life sciences companies looking for some quick cash on royalty streams or a fresh source of debt capital. And they're styling the new deal-making group as a ready alternative to equity markets.

"Life sciences companies are typically dependent on equity markets to raise new capital," said Tadd Wessel, a managing director on the "Royalty Opportunities" team. "With this fund, OrbiMed can offer a minimally dilutive capital alternative to fund product launches, M&A opportunities, new product research and general corporate purposes."

The fund will be operated by three OrbiMed partners--Samuel D. Isaly, Sven H. Borho and W. Carter Neild--and a dedicated team which includes Tadd S. Wessel, Matthew S. Rizzo, Matthew L. Wotiz and J. Christopher LiPuma.

- see the OrbiMed release