Oct 13 2008
DSM Venturing, the corporate venturing unit of Royal DSM N.V., today announces that it has made an investment in the new business incubator in the field of medical devices Accelerated Technologies II, L.P. (ATP). The investment further strengthens DSM’s position in the biomedical materials market, one of the Emerging Business Areas defined in its Vision 2010 – Building on Strengths strategy. Financial details will not be disclosed.
In addition to the investment a cooperation agreement has been signed with ATP, which is based in New Jersey, United States. This cooperation provides DSM with close insight into developments in the areas of cardiovascular and age related diseases and serves as a platform to jointly develop medical devices. The investment will facilitate the development of new materials and additional applications for existing materials. As materials knowledge is a vital component of ATP’s value proposition, DSM is in an excellent position to reap new opportunities, based on market needs and existing DSM competencies in advanced biomedical materials.
Interactions with ATP’s management team and physician founders have already led to new proposals for polymer solutions to address vascular issues. DSM and Caliber Therapeutics, Inc., an ATP supported company, already partner on the development of a novel drug delivery balloon catheter that can be used to treat vascular diseases such as atherosclerosis. The investment in ATP is another strong example of DSM’s ambitions in the area of biomedical materials.
Steve Hartig, President of DSM Biomedical: “This partnership is fully in line with the interests of DSM Biomedical and entails a number of clear strategic benefits. It gives us the potential to secure new business and strengthen DSM’s positions in emerging medical device markets. Moreover, this deal presents us with the possibility to extend our knowledge, competencies and development potential via an exclusive open innovation partnership. ATP applies a unique incubator-like business model, with proven effectiveness, and I look forward to cooperating with this expert group of physicians and charter new opportunities.”
An incubator is designed to nurture business ideas or new technologies to the point that they become attractive to venture capital. Apart from investments in 21 companies, DSM Venturing also works together with seven venture capital funds. Venturing is an integral part of DSM’s open innovation approach, focused on teaming up with innovative players all over the world. The company has earmarked up to EUR 200 million for venturing investments until 2012.