US healthcare investment firm TCGX said it has secured $600 million in commitments for its first biotech fund that will invest in life sciences companies in Asia.
In a statement, TCGX said the vehicle, TCGX Asia Life Sciences Fund I, is backed by international institutional investors and will invest across development stages, targeting companies developing medicines for global markets.
The fund will operate separately from TCGX’s existing flagship funds, which focus on biotechnology companies in the US and Europe, while leveraging the firm’s broader network and investment capabilities.
TCGX is also expanding its Asian operations with new offices in Shanghai and Hong Kong, citing growth in early-stage drug discovery and the quality of scientific research and entrepreneurial talent in the region.
“We believe there is a significant opportunity to partner with exceptional entrepreneurs and scientists across the region who are building companies capable of developing transformative medicines for patients worldwide,” said Dr Chen Yu, founder and managing partner of TCGX.
Dandan Dong, managing partner of TCGX in Asia, said the region was seeing growth in scientific research, entrepreneurial talent, and biotechnology company formation.
“Our goal is to partner with the most promising biotechnology companies in the region and bring TCGX’s investment experience, scientific expertise, and global network to help them realize their potential on a global scale,” Dong said.
TCGX invests in innovative biotechnology companies led by entrepreneurs using scientific breakthroughs to develop new medicines. The firm has offices in Palo Alto, San Francisco, and New York City, and has supported companies across North America, Europe, and China.
The latest development comes as healthcare companies in Southeast Asia continue to come to the M&A market to tap new investors as capital needs grow and shareholders look for liquidity.
Last month, Global investment firm KKR agreed to acquire a minority stake in Kuala Lumpur-based hospital operator Avisena Healthcare for an undisclosed amount.
In recent developments, shareholders of Ambica International Corporation, a Philippines-based pharmaceutical trader, have been in talks with interested investors, including private equity firms, around a potential stake sale.
