Published on
Monday, February 28, 2011
Atlas Venture is looking to
build a pipeline, rather than companies, with its new Atlas Venture Development
Corp. initiative. Through AVDC, Atlas will develop clinical candidates and then
sell or partner them without the traditional trappings that go with company
formation.
The model promotes capital
efficiency, a long-standing buzzword among VCs that has taken on real meaning
in this economic climate. Given a listless IPO market, lower returns and an
increasing cost of capital, life science VCs like Atlas are looking for
creative ways to make more of what they've got.