A new venture capital fund looking to back medtech and deep tech health ventures is on the hunt for investors as it looks to raise up to $100 million.
Synthesis Capital has emerged out of the MedTech Actuator’s Origin program, which has helped develop more than 70 leading medtech startups the past five years, including Nutromics, Navi Medical Technologies, VitalTrace and Moon Technologies.
The VC fund will invest in deep tech health startups from pre-seed to series A+ in Australia and the Asia-Pacific and is hoping to raise between $50 million and $100m to back them.
The target for the first close of the Synthesis fund is $10-20 million, with plans for subsequent closings to meet investor demand.
Synthesis Capital investment partner and cofounder, Dr Buzz Palmer said they’re looking for corporate, individual, public and institutional partners as backers
The Synthesis fund will target an internal rate of return (IRR) of 25% net of all fees and also offer co-investment opportunities for limited partners (LPs).
“Synthesis Capital represents a fresh approach to investing, driven by our rich history and commitment to relentless impact in health innovation,” Dr Palmer said.
“The potential to link enterprises across our region, for shared benefit, is immense.”
Partnering with the MedTech Actuator, the fund will access a pipeline of investment-ready startup teams primed for high growth and draw on a powerful ecosystem of venture development expertise. The initiative is partnered for impact with the Menzies Foundation, which has supported its development to date.
MedTech Actuator chair, Dr Mukesh Haikerwal said that a decade on for the organisation, they’re excited to take things to the next state with Synthesis
‘The journey of our ecosystem – from a humble pitch competition a decade ago to becoming one of the Asia-Pacific’s leading health commercialisation organisations – and now launching an exciting venture capital initiative, is a testament to the strength of our reach and relationships,” he said.
MedTech Actuator is backed by the MedTech Actuator, and began in 2013 with a pitch night called MedTech’s Got Talent held in a Melbourne pub. Since then and estimated 5000 innovators trained and more than 120 startups were enabled through the Origin program, including Seer Medical, Nura and Synchron.
Synchron cofounder and CTO Professor Nicholas Opie, said the new fund will address considerable demand for capital in the sector.
“As a health technology startup we see the need for Synthesis Capital. This initiative will catalyse growth and help us achieve critical mass that positively impacts the healthcare landscape.’
Details on Synthesis are available at synthesiscapital.vc