Fund briefs, Aug. 2007

Nexus nabs $100M

Nexus India Capital, a venture firm with offices in Menlo Park, Calif., and Mumbai, India, has closed a $100 million fund for investment in India. It attracted investors from North America, Europe and Asia. The firm launched fund-raising in December 2006. Partner Suvir Sujan was previously a co-founder of eBay India.

Sujan co-founded Nexus with Naren Gupta, the founder of embedded systems software company Integrated Systems Inc., and Sandeep Singhal, co-founder with Sujan of Baazee.com. Bill Davidow of Mohr Davidow Ventures serves as a special advisor to Nexus.

Four Rivers widens fund

Farouk Ladha

, a former partner of Silicon Valley Bank’s private equity division, is shopping his own venture fund called Four Rivers Partners, according to a regulatory filing. The firm has raised $16.25 million for the inaugural fund, collecting most of the cash from high-net worth accredited investors. That’s slightly above the $10.5 million the fund had raised at the end of April. The fund has not listed a target.

No word on what the San Francisco-based fund will focus on. Ladha told VCJ he would prefer not to talk about the fund.Limited partners in the fund include Weismann Associates and Morgan Creek Capital Management.

Battelle Ventures adds $70M

Battelle Ventures has expanded by $70 million, bringing to $220 million its total capital under management. The Princeton, N.J.-based firm raised the new money from sole limited partner Battelle Memorial Institute, the Columbus, Ohio-based research organization that manages five national laboratories.

Battelle Ventures invests in early and late stage tech companies with a focus on life sciences, homeland security and energy. In March 2006, the fund had an exit when portfolio company SafeView, a security company, was acquired by L-3 Communications for an undisclosed amount.

The firm says it has 13 active portfolio companies. “When the fund was established, we had projected 20 to 25 investments during the life of the fund. We now expect to invest in at least 30,” says General Partner Mort Collins, who launched the fund in 2003.

PTV wraps up second fund

PTV Sciences, a Houston, Texas-based venture firm focused on life and material sciences, has closed its second fund with $190 million in capital commitments. It also has added two venture partners: Nancy Chang, former president and CEO of Tanox Inc., and Stephen Slade, a fellow at the American Academy of Ophthalmology and the American College of Surgeons.

PTV raised $66 million for its first fund in 2003. The new fund has invested in three companies: Austin-based Apollo Endosurgery Inc., a medical device company specializing in scarless surgical procedures, Bozeman, Mont.-based BioSurface Engineering Technologies Inc., which is developing therapeutic compounds to improve bone and soft tissue repair, and New York-based Ziopharm Oncology Inc. (Nasdaq: ZIOP), which is developing cancer drugs.

ARCH raises bar for seventh fund

ARCH Venture Partners plans to raise up to $400 million for its seventh fund, according to a regulatory filing. The firm raised more than $355 million for a seed stage fund in 2003. If it reaches its target, fund VII would be the firm’s largest to date, topping its $380 million fifth fund, which closed in 2001.

ARCH, which has offices in Chicago, San Francisco, Seattle and Austin, Texas., primarily invests in life sciences, physical sciences and information technology startups.

Frazier targets $600M

Frazier Healthcare Ventures plans to start marketing fund VI near the end of the year with a target of $600 million. The Seattle-based firm raised $475 million for its fifth fund in 2004.The firm, founded in 1991, makes venture and growth capital investments in the biopharma, medical device and health care service sectors.

Flagship waves in MassPRIM

Flagship Ventures is targeting $250 million for its next fund and recently received a $20 million commitment from the Massachusetts Pension Reserves Investment Management Board. The Cambridge, Mass.-based venture firm raised just over $150 million for its previous fund in 2004.

Bay City rolling with $356M

Bay City Capital has held a $356 million close for its fifth fund, which is targeted at $425 million, according to a regulatory filing. The biotech investor raised $350 million for its fourth balanced stage fund in 2004.

The firm, based in San Francisco, was established in 1997 as an equal partnership between The Craves Group and the Pritzker Interests, a holding company that controls Hyatt, TransUnion Credit Bureau and Royal Caribbean Cruise Lines.

DAG takes stab at mid-stage

DAG Ventures is nearing a close on a $500 million fund to finance mid-stage companies. The Palo Alto, Calif.-based firm, which last year raised $325 million for its second venture fund, has raised $477 million to date for its mid-stage effort.

Bertram loves growth

Bertram Capital, which closed its growth capital fund last year with $250 million, wants to boost the size of the fund by $100 million in a special fund-raising effort. Nearly all of the initial limited partners pledged additional investment. The Palo Alto, Calif.-based firm was launched last year by former Sierra Ventures Managing Director Jeffrey Drazan.

Battery raises $750M

Battery Ventures announced that it has closed its eighth multi-stage venture fund with $750 million in commitments. The firm expects to start investing from the new fund in the third quarter. The firm raised $450 million for its seventh fund, which closed in 2004.

NEA-IndoUS holds second close

India-focused venture firm NEA-IndoUS Ventures announced that it held a second close on its inaugural fund, bringing the total raised to $189 million, according to press reports. It isn’t clear if the firm has finished fund-raising. Co-founder Vinod Dham told VCJ in April that the target was $175 million.

New Enterprise Associates is the fund’s primary limited partner and has lent its acronym as a prefix. Dham co-founded NEA-IndoUS with Vani Kola and they later brought on Kumar Shiralagi as a managing director. The firm, which has offices in Bangalore and Santa Clara, Calif., plans to make early and late stage investments in consumer-related technology, IT-enabled services and companies that provide business process and knowledge process outsourcing.

The firm has made five investments to date, according to its website. Three were made in July: It participated in a $10 million round for Mumbai-based telecom company Microqual with JAFCO Asia and BTS Private Equity Fund, put $5 million into online travel company ViaJustGo, and participated in a $25 million deal led by NEA in ISGN Technologies, a knowledge process outsourcer for the morgtage industry. —VCJ staff