Indiana’s venture capital flow slows-WEB ONLY

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The flow of life sciences venture capital tailed off in Indiana last year compared with 2007, but the state still attracted twice as many dollars as in 2006.

Hoosier life sciences firms pulled in a combined $75.4 million in venture capital last year, according to data compiled by BioEnterprise, a Cleveland-based life sciences development group, and Mid-America Healthcare Investors Network, a consortium of venture capital firms.

Last year’s total investment was down 44 percent from the previous year, but it still doubled the $37.2 million Hoosier life sciences companies received in 2006.

Throughout the Midwest, venture capital investments in life sciences companies fell 11 percent, to $1.1 billion. But the numbers were up 37 percent over 2006.

Minnesota and Ohio continue to be the leading states for life sciences investments, and Minneapolis, Cleveland and Pittsburgh are the leading metro areas.

In Indiana, seven firms received investments in 2008, down from 10 the year before.

Two of the companies were outside the Indianapolis area. Bloomington-based ProCure Treatment Centers Inc. secured a $35 million investment. Also, West Lafayette-based QuadraSpec Inc. pulled in $2.45 million from Clarian Health Ventures.

The Indianapolis-area companies receiving money were led by CoLucid Pharmaceuticals Inc., which pulled in $25 million. However, CoLucid, which is a spin-out of Eli Lilly and Co., now lists its corporate offices in North Carolina’s Research Triangle Park.

Other Indianapolis companies receiving money included CS-Keys Inc. and Symbios Medical Products LLC.

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