£25m has been committed to the Dementia Discovery Fund 2 (DDF-2) – a specialised venture capital fund that invests exclusively in companies developing or enabling novel therapeutics for dementia – by British Patient Capital, a commercial subsidiary of the British Business Bank.
The Dementia Discovery Fund (DDF) has nurtured a portfolio of 19 promising companies, leading to 11 assets in the clinic, significant follow-on investment and a number of strategic pharma partnerships since 2015.
British Patient Capital’s £25m follows its previous £24m investment in the first Dementia Discovery Fund. Including British Patient Capital’s commitment to DDF-2, the fund has now achieved its target raise of USD$250m.
The new fund will build on progress in the field of neurodegenerative diseases that have expanded our understanding of the causes and drivers of dementia, and provide essential venture finance towards the development of first in class dementia therapeutics.
Partner at SV Health Investors, Christian Jung, said: “Dementia is now the leading cause of death in the UK, with devastating consequences for patients and their families, and the global costs associated are expected to exceed $2.8 trillion by 2030.
“We are excited to welcome British Patient Capital into this new fund, DDF-2, which will continue the first fund’s strategy which aims to invest in, create, and scale the best UK and international biotech companies that develop breakthrough, high-impact treatments in this critical field.
“We are delighted to seize this dual opportunity for driving meaningful advancements for patients and delivering strong financial returns for our investors.”
Managing director of funds at British Patient Capital, Christine Hockley, said: “The UK is a world leader in life sciences, but the R&D-intensive nature of the sector means it depends on long term capital to commercialise and scale breakthrough research.
“British Patient Capital is designed to increase the availability of funding for high-potential UK life sciences companies by working with specialist venture growth funds.
“Our cornerstone commitment to DDF-2 will finance vital medical research while also helping to cement the UK’s global position in neuroscience.”
Investment director of life sciences at British Patient Capital, Mark Andrews, said: “The medical and societal burden caused by dementia is one of the greatest challenges of our time.
“The development of treatments for such a complex medical problem requires a depth of experience and a sophisticated approach to backing innovative drug development programmes such as the team have evidenced in the predecessor fund.
“We believe that the continuation of this strategy will be a significant asset in the development of therapeutics for dementia and will be important towards cementing the position of the UK as a global leader in the space.”
