Oxford University has launched a university venturing fund worth £300m ($474m) with a mission to provide capital to its spin-out companies.
Launched along with the institution’s technology transfer office (TTO) Isis Innovation, Oxford Sciences Innovation (OSI) will work alongside Oxford’s academics to transform their ideas into high-profile spin-out companies.
OSI has so far secured £210m of its £300m. Investors in the fund include Invesco and Lansdowne Partners, both of which are investors in Imperial Innovations, the TTO and investor at Imperial College London, and Cambridge Innovation Capital, the £50m university venturing fund launched by the eponymous institution in 2013. Other investors include commercialisation firm IP Group, Oxford’s Endowment Fund, charity investor the Wellcome Trust, and Woodford Investment Management. Credit Suisse is the fund’s placement agent.
The fund will be working closely with Isis on spin-out companies based on research from Oxford’s maths, physical sciences, life sciences, and medical sciences divisions. Isis has now launched 100 spin-outs since the turn of the millennium, and has also established two seed funds along with Parkwalk Advisors over the past couple of years.
OSI will be chaired by David Norward, founder of IP Group, who said: “The University of Oxford has been the birthplace of some of the best science in the world and some of the biggest ideas in history. The agreement with OSI and the strength of the cornerstone investors create a fantastic opportunity to turn world-leading science into market-leading companies and the opportunity to create significant value for all stakeholders.”
Tom Hockaday, CEO of Isis Innovation, added: “This landmark investment is a vote of confidence in the extraordinary potential of Oxford technologies. It builds on the strong foundation laid over the last 20 years of successful spinouts formed through Isis Innovation which have provided excellent returns to investors. We have already started discussing the first investments with OSI, who are working in an inclusive manner with our existing investor community, recognising the importance of all those involved in supporting the Oxford innovation ecosystem.”
