Participated · Equity · Jul 2008

Pacific Biosciences of California Inc is a company that develops gene sequencing technologies. The company announced that SoftBank Group Corp will invest $900 million. The Reuters report on the deal was written by Dania Nadeem and edited by Shinjini Ganguli. The article describes the transaction as SoftBank's latest healthcare investment. The piece does not disclose any operating metrics, valuation, deal terms, or other financial details. Pacific Biosciences develops SMRT (Single Molecule Real Time) DNA sequencing that monitors natural DNA synthesis by observing a single DNA polymerase in real time. Its approach relies on detecting a single DNA polymerase working in a continuous, processive manner. The company is working to apply the platform toward clinical diagnostics through a strategic collaboration with Gen‑Probe. That collaboration will explore co-development of integrated clinical diagnostics systems and begins with an exclusive period of up to 30 months, aiming for a longer-term preferred business relationship to improve diagnosis of human diseases. The two companies may also buy certain products from each other on preferential terms. Financially, Pacific Biosciences received a $50M strategic investment from Gen‑Probe as part of a larger Series F private round and had previously received more than $1.9M in NIH grants in September 2009. Pacific Biosciences develops a technology platform for real-time detection of biological events at single-molecule resolution, including its single molecule real time (SMRT) DNA sequencing technology. The company received grants totaling more than $1.9 million from the National Institutes of Health through the National Human Genome Research Institute. $1,190,022 was awarded over two years to support development of a direct DNA methylation detection method. An additional $714,406 was provided toward an existing NIH grant to support continued development and performance enhancements of SMRT sequencing. The funds are part of the American Recovery & Reinvestment Act of 2009 Research and Research Infrastructure “Grand Opportunities” grants program. NHGRI indicated the awards will stimulate research ranging from understanding genome function to improvements in prevention, diagnosis and treatment of human illness. Pacific Biosciences is a Menlo Park, Calif., company working to advance DNA sequencing technology and develop a real-time sequencing system. The company plans to use $68 million in new financing to prepare that system for commercial launch in 2010. Over the last year Pacific has raised a total of $188 million. Management says the technology could enable faster, in-office sequencing that shifts care toward preventive and personalized medicine and is focusing on how inheritance and environmental factors affect genetic health. The company faces competition from lower-cost entrants and other genomics firms—examples cited include Helicos, Illumina, 23andMe and Navigenics—which heightens pressure to produce innovation beyond current capabilities. Pacific BioSciences is developing a system that captures individual DNA molecules in tiny holes on a chip and uses enzyme-driven chemistry plus optical imaging to identify each DNA letter. The platform seeks to provide an in‑depth, base-by-base view of a person’s genome, aiming to map an individual’s entire genome in minutes and for under $1,000. The company says it expects to be ready to commercialize the technology by 2010. Pacific Bio faces competitors pursuing low-cost sequencing, including Complete Genomics and BioNanomatrix. The approach is intended to enable applications such as preventive medicine, large-scale data mining for new cures, and broader medical research. The company has attracted substantial venture backing over multiple rounds, reflecting investor confidence in the technology’s potential.

Participated · Equity · Jul 2008

Portola’s core programs include betrixaban, a once-daily oral Factor Xa inhibitor, and PRT064445, a recombinant Factor Xa inhibitor antidote. The company intends to use the financing to advance betrixaban through Phase 3 clinical development and to progress PRT064445. Portola plans to initiate a Phase 3 program to prevent venous thromboembolism (VTE) in acute medically ill patients in the first half of 2012. The company also has a global collaboration with Biogen Idec for an oral Syk inhibitor program targeting autoimmune and inflammatory diseases. Under that agreement Biogen provided an upfront $45m (comprised of $36m cash and $9m in equity). Portola is led by CEO William Lis. Portola Pharmaceuticals is a San Francisco-based drug company developing cardiovascular therapies. Its lead program is betrixaban, an anticoagulant intended to prevent blood clots and being advanced into Phase II trials. The company is also developing an antiplatelet agent, PRT060128. Portola recently took a $60 million extension to its third round of funding to see betrixaban through Phase II. It has raised about $200 million in total to date, including a prior $70 million financing. If its drugs do well in trials, the company has said it will likely head to an IPO. Portola Pharmaceuticals is a South San Francisco biotech developing treatments for blood clots and other cardiovascular conditions. Its core programs are two experimental blood thinners that target different coagulation proteins. PRT054021 is an oral Factor Xa inhibitor that showed promising signs in a recent mid-stage human trial and is slated for further clinical testing. PRT060128 prevents platelet aggregation, has completed early trials, and is expected to enter mid-stage testing by the second half of 2007. The company raised $70M in a third round dominated by late-stage and public-market investors to fund these trials. Portola also aims to go public and may pursue an IPO as early as next year, according to its CFO. Portola Pharmaceuticals is a South San Francisco biotech focused on therapies for cardiovascular and vascular diseases. The company has two drug candidates in clinical development: an oral Factor Xa inhibitor in a Phase II trial for prevention of deep vein thrombosis in patients undergoing knee surgery, and a direct-acting, orally available ADP receptor antagonist in multiple Phase I trials. Portola recently secured $20 million in debt financing to support its operations. The financing was provided by Hercules Technology Growth Capital. Portola is already backed by venture firms Abingworth, Alta Partners, ATV, Frazier Healthcare Ventures, MPM Capital, Prospect Ventures and Sutter Hill Ventures.