NC Biotechnology Center Invests in Southern Capitol Ventures

A $100,000 investment in Southern Capitol Ventures of Raleigh is the North Carolina Biotechnology Center's latest effort to provide more working capital for young biotechnology companies in the state.

"The Center is increasingly supportive of true pre-seed and seed venture funds for biotechnology," said Doug Darr, Ph.D., vice president of the Center's Business and Technology Development Program. "There still isn't enough of this type of money available in North Carolina."

The commitment to Southern Capitol brings to more than $1.6 million the Center has invested in eight venture capital funds run by five North Carolina firms. Those investments are in addition to the Center-sponsored $26 million North Carolina Bioscience Investment Fund managed by Eno River Capital of Durham.

"The Biotechnology Center supports funds like Southern Capitol's because they complement what we do," Darr said. "We support technology development, but it's critically important to support business development at the same time, as these funds do for small companies."

Southern Capitol provides venture capital and consulting services to emerging growth companies across the Southeast. Through strategic alliances with The Atlantis Group and truePilot, two angel investment groups based in Research Triangle Park, Southern Capitol has developed a network of angel investors, investment banking firms, industry professionals and venture capitalists.

The Center's investment will nudge Southern Capitol closer to its goal of raising $20 million by this fall.

"We are very excited about this show of support from the Biotechnology Center," said Jim Skinner, a member of Southern Capitol's board. "This is a significant stamp of approval for SouthCap and also positive news for emerging biotech firms in North Carolina."

Skinner, who is also president and CEO of Xanthon Inc., a Research Triangle Park biotechnology company, will lead Southern Capitol's biotechnology effort along with board member Phil Furman, Ph.D., chief scientific officer for Triangle Pharmaceuticals Inc. of Durham.

Southern Capitol has made no biotechnology investments yet but is looking at several area opportunities.

"We are committed to the Research Triangle region and are aggressively working to support emerging biotechnology companies," said Ben Brooks, managing director of Southern Capitol.

For more information visit the company's www.southercapitolventures.com or call Dave Murray at 919-858-7580, ext. 136.

About the North Carolina Biotechnology Center
The North Carolina Biotechnology Center was established in 1981 by the state General Assembly, and is the nation's first state-sponsored initiative to develop the biotechnology industry. In it's 15-year-history, the Center has helped recruit big names, such as Biogen and Covance, attracted outstanding faculty to the state's universities, and addressed policy issues. The Center's Progress Report is available as a PDF file at www.ncbiotech.org.