Dimension, a biotech venture firm founded by former Lux Capital and Obvious Ventures investors, has raised its second fund, Dimension II, which totals $500 million, surpassing the $350 million raised in its first fund in January 2023. The firm’s focus remains on companies at the intersection of life sciences and technology, particularly those developing tech-powered therapeutics and tools to enhance drug discovery and manufacturing.
Dimension plans to make around 24 investments with this fund, ranging from single-digit millions to over $40 million. The investments will span new startups, growing companies, and publicly traded biotechs. Co-founders Adam Goulburn, Zavain Dar, and Nan Li emphasize their “contrarian” approach, which combines life sciences expertise with computing knowledge to reflect the modern biotech landscape. Their portfolio includes drug discovery companies like Chai Discovery and Kimia Therapeutics, as well as software-focused firms like Automata and Kaleidoscope Bio, aimed at optimizing drugmaking processes.
Dimension aims for a smaller number of larger investments to provide more attention and support to each portfolio company. The firm has capped its fund at $500 million, turning away opportunities for further expansion to maintain focus on a manageable number of companies. This strategy contrasts with other venture firms that manage dozens of investments. Dimension’s partners prioritize deep engagement with their companies, ensuring they can provide meaningful support beyond board meetings.
While Dimension has not yet recorded any exits, such as IPOs or acquisitions, the firm is focused on long-term investments with a ten-year horizon, allowing them to make bolder moves in the current biotech climate. Despite the market’s challenges, the firm is undeterred in its quest for transformative ideas, embracing a “risk-on” philosophy. Dimension’s selective approach, larger investments, and commitment to supporting early-stage ventures set it apart from competitors in the biotech space.
