A new private equity health care fund with an emphasis on life sciences evidences the healthy investor appetite for health and life science-related activities. Cowen Healthcare Investments (“CHI”), a private healthcare investment strategy within the investment division of Cowen Inc. (NASDAQ: COWN) completed fundraising for Cowen Healthcare Investments III LP (“CHI III”) with $493 million, $93 million above the group’s original target. CHI received commitments from existing and new investors, including institutional investors, family offices, and high net worth individuals. Enormous sums of capital sit and wait for the right “disruptive” targets.
TrialSite News Investor Watch provides a breakdown of this update.
Who is Cowen Inc.?
Founded in 1918 in New York City, Cowen is an American multinational independent investment bank and financial services company offering diversified financial services from investment banking to research to sales and trading and prime brokerage to a global clearing, commission management to active management of alternative investment products.
With over $10 billion in alternative investment strategies, the company focuses on sectors including healthcare. The firm is known for stepping a little further out on edge than perhaps some of their more conservative and conventional peers traditionally on Wall Street. For example, they were involved with Amazon early on, as well as the emerging US$75 billion cannabis industry. They were the first group of investment bankers to publish cannabis research—given it standing still with the federal government a somewhat gutsy move based on the neighborhood they operate in and the company they keep.
What is CHI?
Cowen Health Care Investments makes mid-to-late-stage investments into innovative private biopharmaceutical and healthcare companies. This investment strategy commenced in 2012.
Who leads CHI?
What does CHI Invest in?
The fund centers on biopharma, diagnostics, and digital health. As previously mentioned, they look for more established players with outstanding management teams and disruptive approaches to disease that address significant unfulfilled medical needs.
How many Investments has CHI made?
Since 2012, the fund has invested in 38 private healthcare companies.