Updated
Updated · Hartford Business Journal · Jul 1
CapeHaven Raises $2.5 Million to Build Biotech Startups After Modifi's $1.3 Billion Sale
Updated
Updated · Hartford Business Journal · Jul 1

CapeHaven Raises $2.5 Million to Build Biotech Startups After Modifi's $1.3 Billion Sale

1 articles · Updated · Hartford Business Journal · Jul 1

Summary

  • $2.5 million raised in May gives New Haven-based CapeHaven early backing toward a $10 million target to launch and support new biotech companies.
  • The venture was formed after Merck's $1.3 billion acquisition of Modifi left lab space, equipment and startup-building expertise that the founders chose to redeploy.
  • CapeHaven says it will take equity rather than fees while helping researchers handle licensing, legal work, hiring, lab access and fundraising.
  • The founding group includes Modifi co-founder Ranjit Bindra, investor Kevin Rakin, executive Mike Dillon and Yale professor Seth Herzon, with Yale Ventures collaborating and Connecticut Innovations investing $200,000.
  • The model aims to turn academic discoveries—especially from the Yale ecosystem—into companies, extending Connecticut's push to grow a deeper biotech startup pipeline.

Insights

Beyond cash, how will CapeHaven arm its startups to win the AI race in drug discovery?
Can a New Haven 'venture creator' truly compete with the biotech giants of Boston and San Francisco?
How will a $10M fund sustain startups through biotech's billion-dollar, decade-long 'valley of death'?