We have nine completed investments - eight resulted in successful liquidity events, and one (RxKinetics) did not. Our cash-on-cash return to date has been 12.5 times and our IRR to date is 60%. Two of the successful investments (Corvita and Novoste) were syndicated with other venture firms and were taken public. Two (Renal Solutions and Liposonix) were syndicated and sold as pre-revenue companies. Three of the other four (Novoste Puerto Rico, Enable Medical and Impla-Med) employed only angel financing, and the final company (Symbiosis) was bootstrapped with no outside financing. The details are as follows:
Corvita Corporation developed two new biomaterials and designed endovascular grafts for treatment of thoracic and abdominal aortic aneurysms. Corvita scientists also developed and licensed to Cordis the materials system used to produce most of the angioplasty balloon products now in use throughout the world. The company completed an IPO in November 1994 and was sold to Pfizer in May of 1996. Subsequently, Pfizer sold the business to Boston Scientific. BSX uses a Corvita developed biomaterial as the polymer carrier on all of their drug coated stents. Partisan principals invested $268,000 and received a return of $5.9 million.
Novoste Puerto Rico, Inc. developed and sold outpatient angiographic catheters using a biomaterial custom-developed by Corvita. Most of the company's products were sold to NAMIC USA in May 1992. The remainder of the assets and intellectual property were used to form Novoste Corporation in 1992. Partisan principals invested $187,500 and received a return of $1.2 million.
Symbiosis Corporation had total invested capital of only $5,000 and financed its activities with loans and advances from its customers with help from Partisan principals. Symbiosis was the first company to develop disposable medical devices to perform minimally invasive surgical procedures. The Company's products were marketed by the Microvasive Division of Boston Scientific and by Ethicon Endosurgery. Symbiosis was sold to American Home Products (now Wyeth) in September 1994 for $175 million and AHP subsequently sold the company to BSX. Partisan principals invested only time and advice and received a return of $2.6 million.
Impla-Med, Inc. developed and sold a line of tooth implants. The company was sold to Cookson Group in October 1993. Partisan principals invested $212,500 and received a return of $550,000.
Novoste Corporation developed and sold catheters using beta radiation to prevent restenosis of coronary arteries after balloon angioplasty. The company completed an IPO in May 1996 and became quite successful until its products were largely obsoleted by the development of coated stents. Partisan principals invested $221,250 in Novoste and received returns of $8.8 million.
RxKinetics, Inc. was founded in April 1997 to commercialize two drug delivery technologies developed at the University of Colorado. In 1999 when RxKinetics needed to obtain Series B round financing, most venture groups were focused on Internet deals. As a result, the B round was done down and was led by a group hostile to Partisan's operating culture. In 2006 RxKinetics was sold to Endo Pharmaceuticals in a milestone based transaction. Although Partisan and related entities have received minor payments to date, it is unlikely that the full investment of $471,500 will ever be recovered.
Enable Medical was organized in April 1994 by Partisan principals and former Cordis and Ethicon Endosurgery employees to develop bipolar RF surgical instruments. The only outside investors were friends and associates of Partisan. All other investment needs were financed by exchanging Enable intellectual property for equity in CardioThoracic Systems prior to the CTS IPO in 1996. This transaction resulted in a non-equity cash infusion of $10 million. In November 2000, Enable spun off a major development project to a new company named AtriCure. In August 2005, AtriCure completed an IPO and used a portion of the proceeds to purchase its parent, Enable Medical. Partisan principals invested $152,000 in Enable and received a return of $1.8 million plus a significant equity position in AtriCure.
Renal Solutions was spun out of HemoCleanse in April 2000 to develop a home hemodialysis system using sorbent regenerated water to treat sleeping patients. Partisan principals and related entities invested $252,500 after the spinoff. Several venture firms invested in subsequent preferred rounds. In October 2007, Fresenius Medical Care AG purchased Renal Solutions for $190 million including a $30 million earnout. Partisan and related entities expect to receive $1.4 million.
Liposonix, Inc. was founded by The Innovation Factory in 1999 to commercialize high intensity, focused ultrasound energy to non-invasively destroy unwanted fat cells. A Partisan related foundation invested $200,000 in the Series A round. Subsequent financing was provided by Three Arch, Versant, Delphi, Schroeder, Carlyle, Accuitive Medical Ventures and others. Liposonix was sold in July 2008 to Medicis Pharmaceuticals Corporation for an initial payment of $150 million plus a substantial earnout. The Partisan related foundation received an initial payment of $1 million.