SAN FRANCISCO, March 25 Healthcare-oriented
venture firm Third Rock Ventures said it had raised a $516
million fund, its third, even as healthcare investing endures
something of a slump.
Investors have cooled on the sector due to factors including
high regulatory hurdles, the long time frame for drug
development and the lack of blockbuster initial public offerings
for health and biotechnology companies.
Third Rock, founded in 2007 in Boston, said its latest fund
would invest in up to 16 companies. The vehicle will focus on
areas including diagnostics, therapeutics, information
technology and data.
The firm's portfolio includes investments such as Lotus
Tissue Repair, sold to Shire earlier this year in a deal
that could reach $324.3 million if Lotus meets certain
Third Rock was founded six years ago in Boston. Its
inaugural fund was $378 million, followed by a $426 million fund
that closed in 2010.