Complete Genomics raises $45 million in private equity financing

Aug 24 2009

Complete Genomics Inc., a third-generation human genome sequencing company, announced that it has raised $45 million in private equity financing and closed its Series D funding round with two new investors — Essex Woodlands Health Ventures and OrbiMed Advisors, LLC.

Complete Genomics’ existing investors — Enterprise Partners Venture Capital, OVP Venture Partners, Prospect Venture Partners and Highland Capital Management — have all chosen to reinvest in the company, underscoring their confidence in its human genome sequencing technology and unique business model. Complete Genomics allows its customers to purchase the genome data they want without having to purchase and operate expensive and complex sequencing instruments.

Complete Genomics provides high-quality, high-throughput and affordable DNA sequencing of human populations that will enable large-scale research of the genetic mechanisms underlying drug responses and complex diseases. The company is currently building the world’s largest commercial human genome sequencing center in the heart of Northern California’s Silicon Valley.

In addition, Complete Genomics has appointed two new directors, C. Thomas Caskey, M.D., FACP, and Carl L. Gordon, Ph.D., to newly created seats on its board.

An adjunct partner at Essex Woodlands Health Ventures, Dr. Caskey is also director and CEO of the Brown Foundation Institute of Molecular Medicine at the University of Texas Health Science Center, and an adjunct professor in the Department of Molecular and Human Genetics at Baylor College of Medicine in Houston.

Dr. Caskey is past president of the American Society of Human Genetics, the Human Genome Organization and the Texas Academy of Medicine, Engineering and Science. He served as senior vice president, human genetics and vaccines discovery at Merck Research Laboratories, West Point, and was president of the Merck Genome Research Institute.

Dr. Gordon is a founding general partner of OrbiMed and co-head of private equity. Before joining OrbiMed, Dr. Gordon served as a senior biotechnology analyst at Mehta and Isaly. He is also a former fellow at The Rockefeller University.

Dr. Caskey said, “I have been involved in DNA sequencing for many years and believe that Complete Genomics’ technology has the potential to revolutionize the market by providing researchers with access to large-scale genome sequencing. That is why I took the unique step of accepting a seat on their board.”

“We are pleased to have completed our Series D funding round, even though it is six months later than we originally planned due to the collapse of capital markets,” said Dr. Clifford Reid, chairman, president and CEO of Complete Genomics. “This new capital will enable us to scale up our facilities in preparation for large customer projects. We now plan to launch our large-scale commercial sequencing center in January 2010 with the goal of sequencing 10,000 human genomes next year.”

Dr. Alex Barkas, managing director of Prospect Venture Partners and a member of Complete Genomics’ board, said, “As the competition proceeds to establish next-generation platforms for sequencing both full and expressed human genomes, it is encouraging to have early customer acceptance of Complete Genomics’ platform and the support of Essex Woodlands and OrbiMed. These leading venture firms conducted exhaustive diligence on Complete Genomics’ technology, competitive landscape and customer interest in scaling their adoption of this approach.”

“At the end of the day, one platform will emerge as the commercial leader in defining the population genetics of human disease and disease predisposition, and we believe that Complete Genomics has that proprietary platform. It delivers a depth of sequencing and quality competitive to any sequence published to date with a fully burdened cost of goods more than an order of magnitude lower than the $50,000 genome announced earlier this month,” Dr. Barkas added.

http://www.completegenomics.com