US-based pharmaceutical element supplier Colorcon launched a $50m corporate venturing vehicle called Colorcon Ventures yesterday that will be managed by corporate-focused venture capital firm Touchdown Ventures.
Founded in 1961, Colorcon produces film coating systems as well as excipients and modified release technologies that help oral medications such as pills and capsules function effectively. It also provides colorants, glazes and inks for the food industry.
The fund will invest in companies working on innovative pharmaceutical technologies related to areas like patient compliance, digital medicine, dosage authentication, manufacturing and the supply chain.
Although it is technically stage-agnostic, Colorcon Ventures is concentrating on early and mid-stage deals and will provide $1m to $3m for an initial investment.
Martti Hedman, Colorcon’s chief executive, said: “We are excited to launch this venture fund to support the growth of startup companies in the pharmaceutical and healthcare industries.
“Colorcon has a rich history of innovation and we believe this fund will allow us to continue to serve our customers by partnering with startups.”
Hedman is one of a three-person team who will approve deals on Colorcon’s behalf, along with chief financial officer Dave Graeber and head of corporate development Pankaj Rege, according to TechCrunch. Touchdown’s chief executive, David Horowitz, is overseeing the fund.
