For Immediate Release: Contact:
July 19, 2006 Gene Eagle, VP Development Finance (501) 682-5903
Derrick Rose, Communications Mgr. (501) 682-5904
Venture Fund to Target High-Growth
Medical and Biotechnology Companies in Arkansas
Cimarron Capital Partners, LLC, the Designated Investor Group
for implementation of the Arkansas Development Finance Authorityís (ADFA)
venture capital program, officially closed on its 4th venture
investment on June 30, 2006. The $4 million commitment was awarded to Memphis
Biomed Ventures II, L.P. (MBV), a private venture capital firm building a $50
million diversified portfolio of equity investments in high-growth medical
device and biotechnology companies.
MBVís principal office is in Memphis, TN. The firm focuses
its investment activity primarily in the Southeastern (including Arkansas) and
Midwestern regions of the United States. This capital pledge brings with it a
commitment from MBVís management team to consider
all credible deals coming out of Arkansas that fit within its investment
parameters. To facilitate this, MBV will organize and maintain a deal
origination system in Arkansas which includes an annual screening of UAMS
technologies, training lectures for interested technology transfer and
academicians in how to commercialize medical technology, introductory events for
business people interested in building medical technology companies and an
inclusion of appropriate Arkansas technology leaders in MBVís annual
Musculoskeletal New Ventures Conference. In addition, for those Arkansas
technology transfer offices desiring it, MBV will provide input on how to
package and present what makes for a more compelling investment opportunity to
the venture capital community.
investing in an aggregate of ten (10) to fifteen (15) entities in the health
care industry, including medical device and biotechnology companies with a
particular interest in companies developing product solutions for
musculoskeletal disease. The fund expects to invest at various stages of
development from seed and early stage financings to later-stage deals.
This is the 4th
capital pledge made by ADFA since the passage of the Venture Capital Investment
Act (The Act) in 2001. The Act authorizes ADFA to make a capital guaranty of up
to $70 million to capitalize a private institutional partnership fund for the
state of Arkansas. This fund is now known as Cimarron Capital Partners, LLC.
Its goal is to invest in professionally managed venture capital funds who will
be visible and who will aggressively pursue venture investment opportunities in
ADFA serves as the contracting entity to Cimarron Capital Partners LLC., provides balance sheet support and is actively engaged in program oversight.
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