CARMA FUND I: 47 million euros for German biotech companies

21 Jun 2022

CARMA FUND I: 47 million euros for German biotech companies

The newly launched CARMA FUND I is a vehicle to accelerate the transfer of life-science research into practice. The list of investors includes good old acquaintances: Initiated by tech transfer specialist Ascenion GmbH and Frankfurt's Goethe University and its transfer company Innovectis GmbH, the European Investment Fund (EIF), Hamburg-based Evotec SE and other undisclosed investors have invested €47m. The fund will be managed by CARMA FUND Management GmbH, headed by Christian Leikert and Dr. Martin Raditsch.

The first closing already showed that the target volume of EUR 60 million was chosen rather conservatively: EUR 47 million has already been committed. The funds will mainly flow into start-ups and projects from Ascenion and Innovectis partner institutes, but also from other German and European institutions. CARMA invests in new therapeutic and diagnostic approaches, platform technologies, medical technology and digital health, whose inventors are supported by the network of partners.

However, it remains to be seen whether CARMA is particularly effective in supporting technology transfer, as its managing directors have stated. Previous technology transfer agencies in Germany, especially at universities, have so far been hopelessly inferior to their U.S. counterparts in terms of efficiency and royalty generation.

Christian Stein, CEO of Ascenion and member of CARMA’s Investor Advisory Board adds: ‘This fund truly is a game-changer for Ascenion. It enables us to provide fast, early-stage financing for top projects in a flexible fashion. The timeframe of 15+ years, which particularly suits the development horizon of therapeutic and diagnostic projects, allows the fund to participate in future revenues to support the charitable aims of the LifeScience Stiftung’.