Once upon a time (let’s call it the 1990s), drug companies licensed early-stage technologies from academic and nonprofit partners, then developed those technologies into clinic-ready products. When drugmakers exited that space, venture capitalists took on the early-stage development role. But over time, the VCs also moved on, choosing to focus on mid-stage technologies. The abyss they left behind, the so-called “valley of death,” continues to serve as a formidable obstacle to translating laboratory findings into products with clinical applications.
Like so many institutions, OMRF tried to bridge this chasm. But our various approaches—in-house funding of research projects, incubating our own companies—yielded decidedly mixed results. So we decided to go a third way.
Following the path cut by trailblazers like Seattle’s Accelerator and the Austin Technology Incubator, we decided to build a biotech accelerator here in Oklahoma City. Working with our partner the Presbyterian Health Foundation, which provided seed funding alongside OMRF, we created Accele BioPharma. The idea behind Accele is that money alone is not enough to build successful early-stage companies. To escape the valley of death, you also need seasoned management.
We were fortunate enough to convince Clayton Duncan, who’d helmed seven biopharmaceutical companies and raised more than $150 million, to serve as CEO. And Clayton immediately recruited Dr. Dick Gammans, industry veteran with three decades of experience in product development, to act as president and COO. Clayton and Dick quickly took four portfolio companies under management. While the relationship between Accele and OMRF is not exclusive, three of the four companies spun out of OMRF.
With $10 million in venture funding from local investors and another $15 million in portfolio funding, Accele has made great progress pushing discoveries through the pipeline. Of OMRF’s portfolio companies under management, one has a compound in phase II trials, and another has a product that is close to clinic.
While Oklahoma City doesn’t have the infrastructure or biotech density you’d find in Cambridge or South San Francisco, our leanness brings with it the ability to move quickly. Accele is a perfect example of how we’ve been able to adapt to fill a need. As a result, our bench-to-bedside ecosystem is richer than it’s ever been.
Manu Nair
Vice President, Technology Ventures
Join us for a Sjögren’s Conference
From September 19-22, OMRF and the Oklahoma Sjögren’s Syndrome Center for Research Translation will host the Biomarkers and Targeted Therapeutics in Sjögren’s (BATTS) Conference in Oklahoma City.
Click here for more details and registration information.
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