Bioscience Managers' first fund achieves 24.7% IRR

Bioscience Managers revealed that its Australian Bioscience Fund I healthcare fund has returned capital to investors at an annual internal rate of return of 24.7%.

Since its inception in July 2008, the fund called $35 million and ended with $56 million returned, a closing unit price of $1.76 per dollar invested, the fund manager said.

Australian Bioscience I was the first fund run by Bioscience Managers since it was established from the former IB Managers.

It focused on investments in mid-stage healthcare and life science investments, including Alchemia (ASX:ACL), Bionomics (ASX:BNO), Acrux (ASX:ACR) and HeartWare International (ASX:HIN).

The fund’s minimum commitment was $4 million, and investors included Telstra Super, Asia Union Investments, Meat Industry Employees Superannuation Fund and the ANU.

Bioscience Managers Managing Director Jeremy Curnock Cook said the fund has outperformed the S&P/ASX200 Accumulation Index by 68%, “despite the volatility in the past six years and investing in what is regarded as a high-risk sector”.

The company’s second fund, Asia Pacific Healthcare Fund II, will have its final close in September. The fund seeks to raise up to $100 million and has invested in companies including Nexvet Biopharma, Avita Medical (ASX:AVH), AmpliPhi Biosciences and Rex Bionics