HARRISBURG, Pa., May 14 /PRNewswire-USNewswire/ -- Pennsylvania is setting the stage for future opportunity and innovation while expanding its reputation as a leader in the life science industry , Governor Edward G. Rendell said today as he announced investments in three venture capital firms that will help stimulate growth in the state's rapidly developing bio-technology sector.
"In Pennsylvania, we realize the life science industry's potential to be an engine for job creation and economic development" "By using our resources, we are equipping local venture capital firms with the support they need to attract companies that will not only create skilled jobs and contribute to our economy, but will have the potential to develop the next big medical innovation.
"Especially during challenging economic times, it's critically important that we continue to invest in our economy to spur private sector investment and put more people to work."
The Commonwealth Financing Authority today approved $5 million in new investments to three firms through the New PA Venture Capital Investment program that provides loans to venture capital firms to invest in growth-stage companies.
These three firms are expected to leverage an additional $15 million in private investments that will be used to support more than 20 early stage Pennsylvania companies.
MentorTech Ventures II, Philadelphia, a fund that invests in companies that come out of the University of Pennsylvania, received $1 million to invest in early stage companies in the technology and life science sector; NewSpring Health Capital, Radnor, received $2 million to invest in biotech, healthcare services and medical devices; and Pittsburgh Life Science Greenhouse Accelerator Fund will receive up to $2 million to invest
MentorTech is the first fund to receive follow-on funding from the CFA based upon the success of their first Fund which invested in PayQuik (acquired by CITI), Diapers.com, Neatreceipts and Gentis.