Frazier Life Sciences Adds $1.1B to Biotech Fund

FLS has closed an oversubscribed fundraising of more than $1.1 billion for its Public Fund, increasing total commitments to approximately $2.8 billion for a strategy focused on public and later-stage private biotechnology companies.

The Palo Alto, California-based investment firm launched the fund as a dedicated vehicle in 2021. It is structured as a long-only strategy that invests in small- and mid-cap public biotech companies. The fund can also invest in later-stage private companies through crossover financings.

Several major holdings have become acquisition targets since the strategy’s inception. Merck purchased respiratory-drug developer Verona Pharma for approximately $10 billion, while Vertex Pharmaceuticals acquired Alpine Immune Sciences for about $4.9 billion.

“With the continued momentum we have seen from promising clinical trials, FDA approvals and successful commercial launches both within and outside our portfolio, we are excited about the future potential of biotechnology,” Managing Partner Albert Cha said.

The raise follows Frazier’s $1.3 billion closing last year for Frazier Life Sciences XII, a venture fund focused on creating and backing early-stage biopharmaceutical companies.

The fund is led by Cha, Jamie Brush, Patrick Heron and Jamie Topper. FLS manages more than $6.9 billion in capital across venture funds that create and back private biotechnology companies and its long-only public fund.