INVESTMENTS

Fund Structure:

Anticipated Fund Size:  $50- $75M
Fund Life: 5 year investment period; 10 year life with two (2) one-year options to extend
Minimum Commitment:  $500K for individuals / $1,000,000 for entities
Management Fees: Traditional 2% and 20%

Investment Allocation:

60% Series A/B:                       8-12 investments @ $2-5M per company
25% Reserves for follow-on rounds:  5-10 investments@ $2-4M per company
12.5% to Series C or later:   2-3 investments @ $3-5M per company
2.5% Seed Round:                 8-10 investments @ $100-250K investment per company
Expected Maximum Position:  $10M investment per company

Investment Strategy:

Align ourselves with proven leadership teams and top technologists in life sciences:

Transformative and / or disruptive business to business platforms
Strong intellectual property and brand value – Demand “pull”

Differentiation Strategy:

Focus on Southwestern Region:  Arizona, New Mexico, Oklahoma, Texas, where we have strong networks and expect to find attractive valuations and less competition for the best deals
Active role as Board member and partner to companies

Leverage our operating experience to choose high potential companies
Leverage our market contacts to give portfolio companies access to strategic partners