RA Capital Launches Structured Capital Solutions

Leading Healthcare-Focused Investor Expands Capabilities to Provide Comprehensive Suite of Equity, Debt, Royalty, and Hybrid Financing Solutions for Commercial Stage Companies

Industry Veterans Jeremy Lack and Adam Kaye to Lead New Strategy

BOSTON, Sept. 18, 2024 /PRNewswire/ -- RA Capital Management, LP ("RA Capital"), a multi-stage investment manager dedicated to evidence-based investing in public and private healthcare, life sciences, and planetary health companies, today announced the addition of credit and structured capital solutions to its platform. The team will be led by industry veterans Jeremy Lack and Adam Kaye, who have joined RA Capital from Athyrium Capital Management and Sixth Street, respectively, as Senior Managing Directors and Partners, Structured Capital.

With deep industry and sector expertise and an evidence-based investment approach, RA Capital has a 20-year track record of successfully helping healthcare and life sciences companies create value and advance their objectives. Augmenting RA Capital's platform with structured capital solutions expands the firm's capabilities to more effectively meet the changing capital needs of private and public companies in the space through flexible equity, debt, royalty, and hybrid solutions. The structured capital strategy will benefit from the full RA Capital platform – including TechAtlas, the firm's research division, and its scientifically trained team – to structure a comprehensive suite of creative financing solutions for innovative, best-in-class companies.

"Over time, we've had the good fortune to see some of the development-stage companies we've supported with equity move on from simpler financials towards commercialization of their products, making them credit eligible. What held us back from expanding into credit and structured capital investments was knowing it takes a particular expertise we didn't have to design and negotiate these instruments," said Peter Kolchinsky, Founder and Managing Partner at RA Capital. "Now, with Jeremy and Adam joining, we can finally offer the full range of capital to help healthcare companies grow. It's gratifying to be able to provide the right kind of capital to a broader range of companies, both the ones we already fund with equity as well as many others we admire. With all the innovation in medicines, devices, diagnostics, healthcare services, and research tools, we are optimistic about the potential for investors and non-investors alike."

RA Capital's structured capital solutions team will partner with commercial stage companies spanning the pharmaceutical, biotech, medical products, healthcare services, research tools, and HCIT sub-sectors to provide holistic and bespoke financing solutions across the capital stack. Partnering with leading companies to support their growth, the structured solutions team will provide financing for enhanced capabilities and infrastructure, research and development, and acquisition opportunities.

"It is an exciting time to be a healthcare investor as we continue to see more innovative products and services reach the market," said Dr. Lack. "Adam and I are thrilled to join RA Capital, a firm with high-connectivity and expertise across the entire healthcare ecosystem, to work with leading companies and management teams to develop creative capital solutions. With the addition of structured capital solutions to its platform, RA Capital will be well positioned to continue funding companies as they mature and bring lifesaving services and therapies to patients." 

"RA Capital has evolved into a leading healthcare and life science firm with extensive capabilities and a long history of delivering extraordinary results," said Mr. Kaye. "We believe that structured capital solutions offer an attractive financing option for many healthcare and life sciences companies, making RA Capital a full-service platform with an integrated set of creative financing options, throughout the entire capital structure."

About Jeremy Lack
Dr. Lack has broad investment experience in the healthcare sector across a diverse range of asset classes, geographies, and transaction types. Previously, he was a Partner and President at Athyrium Capital Management, a Managing Director at the Cortec Group, and a Principal at New Leaf Venture Partners. Dr. Lack also founded and led Durata Therapeutics (NASDAQ: DRTX), a spin-out from Pfizer that focused on antibiotics and was later acquired by Actavis. Earlier in his career, Dr. Lack was a consultant at McKinsey & Company and served as the Director of Strategic Planning for the New York City Department of Education. Dr. Lack earned a D.Phil. in Biochemistry from the University of Oxford, where he was a Marshall Scholar, and a B.S. with honors from the School of Industrial and Labor Relations at Cornell University.

About Adam Kaye
Mr. Kaye spent the last 20 years working across credit and equity financing, most recently serving as a Managing Director at Sixth Street. Prior to Sixth Street, Mr. Kaye was a Managing Director at Hayfin Capital Management and previously worked at New Health Capital Partners and New Leaf Venture Partners. Earlier in his career, Mr. Kaye was a healthcare investment banker at ThinkEquity Partners and BMO Capital Markets. He earned an M.S. in Biology from New York University and a B.B.A in Finance and Consulting from Emory University's Goizueta Business School.

About RA Capital
Founded in 2004, RA Capital Management is a multi-stage investment manager dedicated to evidence-based investing in public and private healthcare, life sciences, and planetary health companies. RA Capital creates and funds innovative companies, from private seed rounds to public follow-on financings, allowing management teams to drive value creation from inception through commercialization and beyond. RA Capital's knowledge engine is guided by our TechAtlas internal research division, and Raven, RA Capital's company creation team, offers entrepreneurs and innovators a collaborative and comprehensive platform to explore the novel and the re-imagined. RA Capital has more than 150 employees and over $10 billion in assets under management.

SOURCE RA Capital Management, LP