Read the 2011 CID4 Metrics Report.

The document is available for download (HERE).

Due diligence is a complex undertaking, weaving together required elements of both art and science. In order to execute this process an appropriate infrastructure is required – one in which roles, responsibilities and organizational expertise combine to ensure that all relevant questions are asked and answered. A key element of the CID4 diligence process leverages the subject matter experts and key opinion leaders who are members of the CID4 Technical and Business Advisory Committee, or the TBAC. 

CID4’s ability to effectively and efficiently identify successful project investment opportunities is critical to our success. The process and feedback that we give to applicant companies also contributes to the broader success of the Colorado life science ecosystem and the economic development of the State. CID4 has developed a series of essential processes and protocols which allow us to assess a large number of diverse technologies, including therapeutics, devices, diagnostics and other medically-focused technologies such as software. 

The CID4 competitive advantage is derived primarily from experienced individuals and their unique intellectual capital assets. That deep experience exists within the management team at CID4, and such expertise resides with each member of the TBAC, who generously volunteer their time and energy to the CID4 diligence efforts. 

Professional backgrounds and domains of expertise amongst the TBAC are diverse, deep and World-class. Committee members are serial entrepreneurs at public and private life science companies, physicians and clinicians, venture capitalists and investment bankers, attorneys, and industry executives with responsibility for the regulatory, reimbursement, sales, marketing, manufacturing and quality functions within their organizations. 

It does take a village to achieve economic development through innovation advancement via the creation of Colorado bioscience companies and job opportunities. The nurturing and supportive entrepreneurial community of Colorado is personified by the sophisticated members of the CID4 TBAC. If you are interested in volunteering for a seat at the TBAC table or simply learning more please contact us today.

The value of CID4 to our portfolio companies and the greater Colorado life science ecosystem goes beyond simply deploying capital. We use the term Active Business Management (ABM) to describe our participatory role in assisting to move technology from the bench to the market. The life-blood of the early-stage bioscience entity, the fuel for the engine or what is sometimes referred to in the lab as well as in the boardroom as the green enzyme is one area in where our focus has started to drive results in the form of follow-on capital. 

The financial resources CID4 are able to deploy are limited relative to a multimillion dollar venture backed series A financing that most of our Project companies will ultimately pursue. This should come as no surprise as CID4 is not a returns-based venture fund. Rather our mission is economic development through innovation advancement – tasked to grow the Colorado bioscience ecosystem through company creation and job growth. Despite these relative capital constraints there is demonstrable opportunity to leverage the intellectual property assets within the State. The opportunities for leverage are as diverse as the companies with which CID4 works with. One of the greatest ABM contributions offered by CID4’s presence on our Project companies' boards is the ability to help management craft a developmental roadmap resulting in the most efficient use of finite capital resources and ensuring that resultant data is capable of addressing downstream commercial concerns. 

Getting focused and efficient with strategy and its tactical execution has begun to reap dividends for portfolio companies in the form of follow-on capital. CID4 ABM has helped PeptiVir leverage an original $300K investment by acquiring an additional $450K derived from non-dilutive proof-of-concept and early-stage company grants. These grants are sourced from the Bioscience Discovery Evaluation Grant Program – a $56M program created in 2006 by the Colorado General Assembly and appropriated through the Governor’s Office of Economic Development and International Trade. A second example is the original $600K investment in Sophono funded the Company while it pursued other capital, resulting in an additional $850K being raised. Of this total, approximately $250K originated from the Qualifying Therapeutic Discovery Project Credit program and approximately $600K from angel investors. 

It is a long and expensive journey for an early-stage company to get to an approved product and positive cash flow. The combination of developmental challenges and the difficult task of raising institutional risk capital have created the need for new or alternative financing approaches. The Active Business Management provided by CID4 has contributed to portfolio companies raising follow-on investments resulting in a leverage ratio of 1.5 to 1.0. 

Stay tuned for the next installment of the ABM series as we highlight how CID4 continues to push the economic development envelope through innovation advancement.

CID4 has selected Ft. Collins, Colorado-based Veterinary Emerging Technologies Development Corporation (VetDC) to receive funding and management assistance. VetDC in-licenses, develops and commercializes technologies to address serious unmet medical needs in companion animals. 

In the first quarter of 2011, VetDC completed the acquisition of all North American veterinary rights to VDC-1101 (GS-9219) from Gilead Sciences, allowing for development and commercialization in animal cancer. VDC-1101 is an anti-proliferative agent that preferentially targets lymphoid cells and works by inhibiting DNA synthesis, leading to the induction of apoptosis or programmed cell death. In a recently completed animal study, VDC-1101 was well tolerated and demonstrated significant activity against spontaneous non-Hodgkin lymphoma in pet dog subjects (n=38). 

“We are extremely pleased to enter into this financing agreement with CID4,” said Steven Roy, President and Chief Executive Officer of VetDC. “The CID4 funding will not only help us advance our lead cancer program, but will also help increase employment to the company and the State of Colorado. Furthermore, CID4's solid reputation and deep industry connections have already proven valuable in helping VetDC raise additional capital.”

CID4 is attending two important industry conferences C21 BioVentures (May 25-27) and the BIO Business Forum (June 27-30) to present venture capital investors and potential corporate partners with the technologies and opportunities that CID4 has been evaluating since our first technology solicitation in March 2010. If you would like us to present your non-confidential information and contact information to potential investors and partners during these conferences, we need your information entered into the CID4 Innovation Database as soon as possible.

Be certain to upload your entity’s business plan-related documents to CID4’s new portfolio management system (HERE: http://cid4.com/programs/application) in order to be represented at C21 BioVentures and the Bio Business Forum, two high quality partnering and investor events.

The CID4 portfolio management system streamlines the process for interested parties, such as big-pharma business development professionals and venture investors, to review the offering and value proposition of your entity and reconcile that with their needs and interests. In addition to making the process mechanically easier we have also made it faster and more efficient, and thus CID4 can quickly yet thoroughly present your work to a much broader array of parties.

If you have any questions or concerns regarding the mechanics of this process I urge you to contact me (720-859-4046 or richard.duke@cid4.com) or Adam Rubenstein (303.902.4413 or arubenstein@cid4.com) to schedule a meeting so that we can assist you in uploading your information.