Toronto-based firm DRI Capital, which is focused on investing in healthcare royalties, has held a final close of $1.45bn for its Drug Royalty III private equity fund, topping its $1bn target.
The new fund, which follows the $926m second vehicle raised in 2010, and available debt give the firm $3bn of purchasing power.
In April AltAssets reported that DRI had raised more than 80 per cent of the third fund’s $1bn target.
DRI said it will continue to acquire royalties from global pharmaceutical and biotechnology companies, research institutions, universities, and inventors around the globe.
Since its launch in 1992 the firm has bought more than forty international life sciences royalty streams on products including Cubicin, Enbrel, Myozyme, Remicade, Sensipar, Soliris, Stelara, Simponi, Synagis, Tysabri and Xolair.
DRI Capital CEO Behzad Khosrowshahi said, “We are grateful for the commitment shown by investors, which include public and corporate pension plans, university endowments, charitable foundations, family offices and financial institutions located globally.
“We have a competitive cost of capital, and we look forward to investing in royalty streams on a variety of differentiated healthcare products over the next several years, including product candidates in Phase 3 of clinical development.
“We have a long track record of working with royalty holders to creatively structure transactions, and our team is excited to do more deals in the global life sciences community.”
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