JPMorgan has launched a life sciences private equity team led by a group of industry experts, the bank announced on Tuesday.
The firm’s Life Sciences Private Capital team is part of the bank’s growth equity and private credit platform, JPMorgan Private Capital. The new practice will leverage the bank’s resources and expertise to support early and growth-stage healthcare companies working on novel therapeutics and technologies, the bank said.
Some of the key areas the team plans to focus on are oncology, neurodegenerative disease, genetic medicine, autoimmunity, rare diseases, metabolic diseases and neuropsychology, according to the firm.
The new venture, which took 18 months to launch, is entering the biotech sector at a time when investments have declined but innovations are reaching new heights, according to The Wall Street Journal.
“The entry point for the life-sciences space is probably one of the best we’ve seen,” Brian Carlin, CEO JPMorgan Private Capital, told the Journal. The bank can help entrepreneurs by introducing them to top pharmaceutical companies, he said.
Dr. Stephen Squinto is joining the new healthcare venture team as a chief investment officer and managing partner, according a press release. He brings with him more than 30 years of experience working in the sector, co-founding and building several biotech companies like Alexion Pharmaceuticals.
Squinto will be joined by Dr. Gaurav Gupta and Anya Schiess, both veterans in the healthcare field. Gupta is a founder of a life science investment firm while Schiess has more than 25 years of healthcare investing experience.
"Through Steve, Gaurav, and Anya's deep company-building experience, the team will bring a unique ability to partner with portfolio companies and add significant operational value beyond financial investment,” Carlin said in a statement.
Though many biotech startups have flooded the market in recent years, there is an “experience gap” due to a lack of expertise needed to excel in the field, Squinto told The Wall Street Journal. The life sciences team aims to bridge the gap, he said.
"As advances in genomics, biomarkers, and data science converge, we are seeing firsthand the transformative impact that biomedical innovation can offer to patients at all stages of life and we expect much more to come in the next decade. J.P. Morgan's existing presence in the healthcare sector will give us a significant sourcing advantage as we seek to identify innovative and transformative therapeutics companies,” Squinto said in a statement.
The bank has also tapped a group of strategic advisors to guide the venture’s investment strategy and provide operational expertise, JPMorgan said.
