Less VC, more SBIR
Cancer play Altor stays majority-owned by individuals to pursue SBIRs
Altor BioScience Corp. and its investors have structured a financing strategy that keeps the company eligible for Small Business Innovation Research grants, thus reducing dilutive equity funding. Investors hope last week's $10.3 million series D round will be the last the company needs.
Altor has raised $32 million through the sale of equity and about $10 million in grants, with another $4 million in pending awards, since spinning off from Sunol Molecular Corp. in 2002. The company has purposely remained majority-owned by individual investors, rather than VCs, in order to remain eligible for SBIRs.
Sanderling, which has put $5 million in total into Altor, was