UTIMCO Commits $25 Million to Life Sciences Venture Fund

The University of Texas Investment Management Company (UTIMCO) has committed $25 million to PTV Sciences, L.P. (PTV), a life and material sciences venture fund based in Houston, Texas. This venture fund will invest in seed and earlystage life science and material science companies and will focus on commercializing technologies developed by prominent research institutions within the state of Texas. On the life sciences side, PTV will invest in medical devices, biopharmaceutical, and diagnostic companies. On the material sciences side, PTV will focus on biomaterials, chemistry, semiconductors, and energy-related technologies.

Texas houses a number of very prominent research institutions. However, in relative terms, minimal venture capital is available to commercialize much of this research. PTV Sciences will work with the University of Texas System campuses and other Texas-based institutions to target the most promising life and physical sciences research. As a result of its commitment to PTV Sciences, the UT Endowments are already benefiting from promising results from the Fund’s initial investments. According to PTV Sciences General Partner Matt Crawford, “PTV Sciences has invested in four companies to date, and two of those companies benefit from technologies developed within The University of Texas System.…IDEV is developing and marketing several novel medical devices and Interpath is a cancer therapeutics company."

Beyond the pure investment opportunity, this financial commitment will have ancillary benefits to many Texas-based institutions and the State of Texas. This commitment will highlight the quality of the research performed at those institutions, create jobs for the state of Texas, and generate attractive returns for the respective offices of technology licensing that facilitate the technology transfer process.

UTIMCO President and CEO Bob Boldt adds, "Our investment in PTV is an important step forward for UTIMCO. Through this single investment we think we can accomplish three important objectives. First and foremost, we expect superior returns which will help build the value of the endowment funds. Second, our investment should help commercialize the best research being done at components of the UT System or other Texas-based research universities thus stimulating and supporting future research. Finally, we hope that our investment will help establish a biotechnology venture capital infrastructure in Texas that will fund exciting new products of research and draw capital into Texas from elsewhere in the US and beyond."

UTIMCO is a 501(c) (3) investment management corporation whose sole purpose is the management of investment assets under the fiduciary care of the Board of Regents of The University of Texas System.

Created in March 1996, UTIMCO is the first external investment corporation formed by a public university system. It invests endowment and operating funds in excess of $14.7 billion, including the Permanent University Fund, the Permanent Health Fund, the Long Term Fund, the General Endowment Fund, the Short Intermediate Term Fund, and the Short Term Fund, among other funds. UTIMCO is governed by a nine-member Board of Directors appointed by the UT Board.

The UTIMCO Board of Directors includes three members of the UT Board, the Chancellor of The University of Texas System, and five outside investment professionals.

UTIMCO's website address is: http://www.utimco.org