Index Ventures debuts new Life Sciences Fund, partnered by GSK and J&J

Index Ventures says it has launched its first fund solely dedicated to making investments in the life sciences sector to accelerate successful drug discovery, in cooperation with two major pharmaceutical companies.

This 150 million euro ($197.6 million) fund includes investments from several of its largest existing limited partners and two drug majors, GlaxoSmithKline (LSE: GSK) of the UK and the venture capital affiliate of the Janssen pharmaceutical companies of USA-based Johnson & Johnson (NYSE: JNJ). GSK and the J&J group will each contribute 37.5 million euros, with the 75 billion euro balance coming from Index, which has bases in London, Geneva and San Francisco.

With this investment in the fund, the two global pharmaceutical companies will share their expertise by participating in the scientific advisory board (SAB) of the fund. Index will maintain full decision making rights to the portfolio companies and the fund rules and procedures will follow previous Index Ventures funds. This unique pharma/venture partnership model is intended to stimulate promising, early-stage R&D innovation.