Colorcon, which develops colorants, coatings, and films for pharmaceutical giants, has a new $50 million fund
The initial quantity it means to devote: in between $1.5 million and $3 million per startup, states Touchdown Ventures CEO David Horowitz, who will be directing the effort for Colorcon. It’s worth keeping in mind that unlike numerous business
that deal with pharmaceutical giants, Colorcon isn’t wanting to money start-ups that are developing active ingredients or particles. Rather, the fund will target investments throughout the production, supply chain and shipment of pharmaceutical product or services. As you might envision, it’s likewise seeking to purchase startups where it can include
Rather, Colorcon, which wishes to plug $50 million into start-ups, has chosen to outsource its endeavor operations to a low-flying however growing clothing in San Francisco called Touchdown Ventures that helps handle the corporate endeavor activities of a lots business currently, including the international food company Kellogg’s, the media giant 21st Century Fox and the adhesive production business Avery Dennison.
of VCs and we speak at conferences and we do things that specify to this industry. “That work now produces 5,000” opportunities “each year, in regards to start-up pitches, Horowitz includes. If Colorcon is lucky, a few of those startups– whether Colorcon gets them or embraces their technology or merely gains from them– will assist keep the
business in business for another 50 years.
Colorcon, a 58-year-old business that establishes, supplies and supports specialty products for the pharmaceutical market– believe food colorants, nutritional finishes, the film on time-release medications– is getting into business of funding startups.
Colorcon understands what it doesn’t understand, recommends its CEO, Martti Hedman. The concept is for Touchdown, which has 30 employees, to utilize its relationships with these other companies and with VCs– along with its own outbound efforts and sector analyses– to bring to Colorcon deals it might desire to fund. More than 70 %of Colorcon’s sales comes outside of North America, consisting of in China, India, South America and, to a small however growing level, Europe. That work now produces 5,000″ chances “per year, in terms of start-up pitches, Horowitz adds.
It isn’t bringing aboard any standard venture financiers or taping off a corner of its Harleysville, Pa., workplaces so a group of staffers can fulfill with start-ups. Colorcon understands what it doesn’t know, suggests its CEO, Martti Hedman.”We’re a group of 750 people, so we didn’t desire to invest in our own VC team. We’re sort of too small for that, too inexperienced.”
The concept is for Touchdown, which has 30 employees, to utilize its relationships with these other companies and with VCs– in addition to its own outgoing efforts and sector analyses– to bring to Colorcon deals it might wish to fund. After that, Hedman, Colorcon CFO Dave Graeber and Colorcon’s head of business development, Pankaj Rege, will decide which start-ups merit checks.
value, be it subject knowledge or intros to the many companies and laboratories with which it works around the world. Indeed, more than 70 %of Colorcon’s sales comes outside of North America, consisting of in China, India, South America and, to a small but growing level, Europe. Is it a match made in paradise? We’ll see. It’s certainly interesting to see business like
Colorcon with their industry knowledge hitching their wagons to platforms like Touchdown, which has institutional knowledge about VC. Says Horowitz,”We have other heathcare relationships. We understand how to attract offer flow. We have relationships with thousands