Cape Town based venture capital (VC) company HAVAÍC has invested “about $550 000” in genetic tests startup 3X4 Genetics, the VC’s CEO Ian Lessem has revealed.
The investment will form part of the startup’s Series-A round, which included a $2.5-million in investment from US venture capital (VC) fund Alethea Capital Management last year to set up an office in Seattle, in the US (see this story).
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The startup, which was founded by Jason Haddock (pictured above, right, with co-founder Yael Joffe), the former CTO of Cape Town animation studio Sea Monster, and scientist Yael Joffe in 2017, offers genetic tests to patients via a network of health practitioners.
Without revealing how much the VC invested, Lessem confirmed in an email to Ventureburn yesterday that the investment was made in 3X4 Genetics’ new Delaware registered US entity, Cipher Genetics.
He said parallel to Alethea Capital Management’s transaction the VC purchased shares from some existing angel investors who had a stake in the business.
HAVAÍC’s investment, he said, was rolled up under the Series-A terms under the Alethea investment.
HAVAÍC’s investment which was concluded last month in 3X4 Genetics, was rolled up under the Series-A terms under the Alethea investment
In an email to Ventureburn Haddock, who is back in South Africa from the US ahead of the planned opening next month of the startup’s Seattle office, said the investment from HAVAÍC was not part of the initial $2.5-million that the startup netted from Althea Capital Management.
Haddock said while the HAVAÍC investment was made in Cipher Genetics, the startup will in the US continue to trade under the 3X4 Genetics brand.
He said a key opportunity of having HAVAÍC onboard is being able to access the VC’s networks and support. Lessem, he added, has already added “significant value” by introducing the startup to legal experts who have assisted with the offshore structuring that the startup carried out last year.
Read more: SA startup 3X4 Genetics lands $2.5m VC deal to market offering in the US [Updated]
Featured image (from left to right): 3X4 Genetics founders Yael Joffe and Jason Haddock (Supplied)
