While many VCs are pumping record-breaking amounts of capital into big idea platform companies and urging them to fully explore their technologies, Clarus Ventures is sticking with its more measured approach.
In addition to keeping a tight focus on products via traditional venture investments in its newly closed third fund, the firm plans to deploy about half of the money in risk-sharing projects with pharma to develop late-stage assets.
"Having come through times that were much leaner, I think we still appreciate the value of focus," said Clarus' Scott Requadt. "More often than not, at least from Clarus' perspective, we like to see a company focus on a select number of areas. We associate that with cash efficiencies and tranched financings to achieve certain milestones."
Clarus hasn't had any trouble convincing LPs to buy into its approach, as the $500 million Clarus Lifesciences III fund exceeded its initial target of $375 million.