New World Angels Invest in Prominent South Florida Biotech Company
FOR IMMEDIATE RELEASE New World Angels Invest in Prominent South Florida Biotech Company
October 7, 2005, Miami, FL –
New World Angels (NWA), a South Florida-based group that which invests private capital in high-potential entrepreneurial companies, announced today that it participated in Bioheart Inc.’s most recent $19 Million private placement round.
Bioheart is developing innovative therapiesto treat patients who suffer from heart disease.“We are thrilled to be one of the investor groups that is funding this exciting company” said Yuda Saydun, Marketing Vice President for NWA “Bioheart is at the forefront of Florida’s growing biotech industry.
They are working on one of the only cell-based, non-invasive therapies to treat patients who suffer from Myocardial Infarction or Congestive Heart Failure.”Howard J. Leonhardt, Chairman and CEO of Bioheart, added: “We welcome the team of investors at New World Angels. We look forward to working with them in a long, mutually beneficial partnership.”New World Angels joins other participants in this round including Advent-Morro Equity Partners, The ASTRI Group, Magellan Group, Presidential Capital Partners, Dan Marino Investments, and Minnesota Biomed Partners. Individual investors included Dr. William P. Murphy, Founder of Cordis Corporation, and David Gury, former Chairman and CEO of NABI Biopharmaceuticals.
Bioheart, Inc. is focused on the discovery, development and commercialization of cell-based therapy products for the treatment of cardiovascular diseases such as congestive heart failure (“CHF”) secondary to myocardial infarction (“MI”) and cardiovascular electrical abnormalities. The Company believes that its products hold the potential to revolutionize the treatment of cardiovascular diseases and become a new standard of care by offering treatments that improve cardiac function, are more cost-effective and are lower-risk than the current alternatives,which include heart transplantation, biventricular pacing, ventricular assist devicesand certain drug therapies. For more information about Bioheart, please visit the Company’s website at www.bioheartinc.com .
About New World Angels (NWA)
New World Angels is a group of private investors dedicated to providing equity capital for promising entrepreneurial companies in South Florida.Members of NWA have extensive experience in starting, building, advising and managing companies in a wide variety of industries. In addition to funding, NWA members make their expertise and resource networks available to portfolio companies. NWA works closely with other regional and national venture firms. In addition it is supported by such leading institutions as The Enterprise Development Corporation, Florida Atlantic University, and Florida InternationalUniversity. For more information, please visit NWAat www.NewWorldAngels.com. Contacts:Scott BromleyVice President of MarketingBioheart, Inc.(954) 835 firstname.lastname@example.orgYuda SaydunMarketing Vice PresidentNew World Angels(305) 342 email@example.com
Posted on Wed, Feb. 28, 2007
By JIM WYSS
As the CEO of mVisible, a Deerfield Beach company that lets users create mobile-phone content, Scott Kinnear has helped midwife a strange array of ring-tone hits.There’s Rell, the Alabama hip-hop artist, who repeatedly screams “Hey your phone is ringing.” There’s a slice from the movie Dumb and Dumber where Jim Carrey screeches “the most annoying sound in the world.” And then there’s the Orca whale song posted by the Center for Biological Diversity in Arizona. It has been downloaded almost 4,000 times.Anyone who has spent any time in close quarters knows the ring-tone market is exploding.
Industry revenue is expected to hit $417 million this year nationally and more than $5 billion globally.But even as major-mobile phone companies, music labels and content aggregators cash in, many independent producers don’t have the muscle to broker a record deal and get in on the ring-tone circuit.”If you have a favorite independent band and request that they send you a ring-tone, you’ll probably find they have no way of doing that,” Kinnear said.
Formatting audio into content that can be recognized across dozens of different phone brands and models is tricky, he said.Enter mVisible. The company’s heart is its Myxer website, which allows users to convert audio or image clips into mobile content and then distribute their work using MyxerTag icons that they can embed in their websites.Since launching in 2005, Myxer.com has attracted some 350,000 registered users and about 30,000 MyxerTags have been deployed across the Web.Reading through the roster of a day’s downloads,
Kinnear notes that the clip by Rell, titled Ay Yo Phone, was downloaded 179 times.”Our biggest hits are downloaded over 200 times a day, which doesn’t sound like a lot, but we have almost 40,000 pieces of content on the site,” Kinnear said. The site delivers about 25,000 clips a day.The system lets artists charge a fee for their work, but most — like Rell — are giving it away.For mVisible, profits will come from selling ads on its site and a cut of ring-tone sales.
Down the road, as corporations embrace the idea of sending ads to mobile phones, mVisible hopes to be a conduit.”When we deliver content, we have a piece of real estate on that mobile phone,” Kinnear said.If the company’s trajectory follows its business plan, it will start turning a profit in 2008.But the company is facing stiff competition, including other websites that offer similar fare.Even so, mVisible has believers.
New World Angels, the Boca Raton investment group, put $3.2 million into the company, and mVisible has been getting résumés from experienced executives — both good signs for a start-up.If mVisible is green, its team is not.Kinnear, mVisible founder Myk Willis and the company’s vice presdient of engineering Bill Madden are all former Citrix executives. At Citrix, Kinnear oversaw 500 employees at dozens of offices. Now he’s working with about 16 people in a two-bedroom house in Deerfield Beach. “We are definitely working on a shoestring,” said Kinnear. But that’s the way Citrix started also.Whether they can recreate a Citrix-style hit, remains to be seen.
Carefully selective New World Angels help members find prudent investments.
Set up and all ready to invest
By KRIS HUNDLEY, Times Staff WriterPublished December 25, 2007
What better day to report on angels?
A network of wealthy, early-stage investors in South Florida has set up a chapter in the Tampa Bay area. And members, as well as potential investments, are welcome, with several caveats.Investment candidates have to pass rigorous screening that weeds out more than 90 percent of applicants. And members have to be serious about writing checks totaling at least $30,000 a year. Service providers chasing new business are not welcome.
New World Angels, a structured investment group in Boca Raton, hopes to formalize what has long been an ad hoc process of seed-stage financing among the local monied elite.”Most angels get the arm put on them by friends or neighbors, then they drop money without any foresight,” said Tom Cardy, membership chairman of New World Angels’ Tampa Bay chapter. ”Sometimes it works, but a lot of times not.
“By joining an existing organization, area investors hope to avoid many of the pitfalls of high-risk deals and take advantage of a selection process that has resulted in five investments over the past two and a half years.
Among New World Angels’ deals are a software company, a biotech business and a Latin foods wholesaler. None of have yet resulted in a payout.Cardy, managing director with Hyde Park Capital Partners in Tampa, said the time was right to organize local angels. Leading the effort is Carl Treleaven, who moved to Madeira Beach two years ago after selling his drug packaging company in North Carolina. About 15 people have joined the local chapter.
Three-dozen members live in South Florida.”With the demise of the real estate market, high-net-worth people have realized they need to diversify,” said Cardy, a long-time Tampa Bay area resident. “But they also remember they’ve gotten their clocks cleaned when they tried to be an angel on their own.”Members must be accredited investors for these high-risk deals, with a net worth of more than $1-million and annual income of more than $200,000.
In addition to committing to a minimum of three, $10,000 investments a year, members pay $1,000 a year in dues to cover administrative costs. Back-office help is being provided by Enterprise Development Corp. of South Florida and Florida Venture Forum in Tampa.
Proposals for funding are submitted online at New World Angel’s Web site (www.newworldangels.com. The strongest pitches are heard monthly, then the group decides whether to proceed with due diligence.
A 10-person board makes the final investment decision. The group’s investment ranges from $250,000 to $600,000, but in most cases, that investment has triggered additional funding from other wealthy individuals or venture funds.Treleaven and Cardy expect that will be the case as New World Angels’ reputation spreads throughout the Tampa Bay area.
They’re also hopeful the network will nurture successful local entrepreneurs who will themselves one day become angel investors.”People here have been focused so much on real estate, everything they build has been around dirt, not intellectual property,” Treleaven said. “We’re looking to create new industries, products and services.
And once they’re commercialized, affluence is created, talent starts coming in. It snowballs.”Kris Hundley can be reached at firstname.lastname@example.org or (727) 892-2996.
What New World Angels wants in its members:
-Willingness to invest a minimum of $30,000 a year.-Willingness to share expertise during due diligence of potential investments.-Contacts and networks that can yield viable investment candidates.
What New World Angels wants in its investments:
-Companies that have a specific market niche, have tapped out friends and family, and preferably have some revenue.-Companies in information technology, life sciences, renewable energy and consumer products, not real estate or traditional energy.-A strong, experienced management team.
An angel investor typically is an affluent individual who provides capital for a business startup, usually in exchange for an ownership stake. The term “angel” originally comes from England, where it was used to describe wealthy individuals who provided money for theatrical productions.Source: Wikipedia
Press Release – Venture Wire
Nueva Cocina Raises $2.25M For Latin Food LineBy Staff ReportersNorth Miami, Fla.1/15/2008Nueva Cocina Foods has raised $2.25 million in expansion capital to growits distribution reach and line of all-Latin food products.Antares Capital Corp. led the round of financing. The firm was joined NewWorld Angels, a southern Florida angel investor group.Nueva Cocina’s current line includes rice mixes, soups and seasonings. TheNorth Miami, Fla.-based company plans to introduce a line of frozen appetizers,entrees and marinades, and to adapt its retail product lines for the restaurantmarket. The company’s products are sold at major supermarkets throughout theSoutheast.Antares Capital invests across the Southeast and Texas.http://www.nuevacocinafoods.com
Investor Group seeks early-stage Florida companies
Sometimes, companies go out of business or never become valuable. That hasn’t happened yet to New World Angels, which was formed in 2004 and has made five investments.There’s plenty of opportunity for it in Florida, which had 157,310 domestic profit businesses and 130,251 limited liability corporations created in 2006, according to the state Division of Corporations. That leads to hundreds of pitches a year.New World Angels President Rhys Williams said the best opportunities in Florida are with companies in business process software, e-commerce, medical devices and consumer goods.
The board of New World Angels evaluates three main components each company:
- The experience of the management. “You’re betting the jockey, not the horse,” Williams said.- An extremely well thought out business plan with an emphasis on how to compete. It’s important that entrepreneurs target a niche and do it well, rather than try to tackle a whole industry, Williams said.- The quality of the technology or product. You should have people with expertise in that area in your investment group to evaluate this, he said.
One advantage of doing this in a group like New World Angels – as opposed to individually – is the back-office operation being handled by the Enterprise Development Corp. (EDC). It houses its office, fields its calls and receives the applications from companies.”Our mission is to assist early-stage science and technology companies, so anything we can do to link funding to companies is a good thing,” EDC Executive Director Jane Teague said.Each New World Angel member pays $1,000 annually for the EDC’s services. Williams isn’t compensated, but he contributes to the investments with the other members.Membership is only open to accredited investors – those with a net worth of more than $1 million and annual income of more than $200,000.Starting this year, New World Angels has committed to making at least three deals a year. Each member must invest a minimum of $10,000 into each deal for a total of $30,000 invested annually. A new corporation is formed for each investment and the members are given an ownership stake in proportion to their contribution.The group screens 20 to 40 potential investments a month and selects two companies to make presentations at its monthly meetings. The 10-member investment committee must approve a deal by majority decision.Because the process with New World Angels is so intense, more venture capital often follows when it chooses a company, Williams said. For instance, it committed $320,000 to Deerfield Beach-based mobile device content software company mVisible this year and the funding round reached $2.7 million.”Angel groups perform an important gatekeeping function for other investors,” Williams said.
THE CHALLENGES:- Selecting a good early-stage company to invest in.- Facilitating a large enough investment to allow the company to succeed.- Companies seeking capital are often bombarded with pitches for professional services by potential investors.
LESSONS LEARNED:- Get industry experts to join the company and put their dollars into the deal.- Get enough influential members in your group and other venture capital firms are sure to take notice.- Make a policy against your members pitching their professional services to companies seeking funds.
NEW WORLD ANGELSPresident: Rhys WilliamsWeb site: www.newworldangels.comAddress: 3701 FAU Blvd., Suite 210, Boca Raton 33431Phone: (561) 542-1380E-mail: email@example.com@bizjournals.com | (954) 949-7515
Can an entrepreneurial education help Miami reach its potential?
Miami is full of opportunities: a great place to start a business. We rank ahead of many cities elsewhere, and it is hard to disagree with that assessment. You need only to walk through Little Havana or Coral Gables to see our vibrant retail small-business community. Looking up, one sees the names of many large multinationals at the tops of our buildings.
The tragedy is that only a handful of larger firms are Miami-based. To compete in the future, we need to build new, high-growth firms in new industrial sectors to serve as a hedge against being too dependent on hospitality, tourism and the financial flows from Latin America.
The reality is that most of our small businesses will remain small, producing small income streams for their owners. Even fewer will produce innovative products or services sought by customers worldwide, and an even smaller proportion will produce significant jobs in the community and wealth for their owners to pass on to their families.
What is missing in Miami is a cadre of high-growth entrepreneurial firms in a variety of industrial sectors with symbiotic relationships with larger firms in those sectors. Where is our next Codina Group or IVAX? Proclaiming we are a great place to do business could describe any number of cities that have great weather, a multicultural population and many educational institutions – for example, San Diego. But we do dream and desire to be more: the financial capital of Latin America and one of the great entrepreneurial cities of the world.
The question remains: How did San Diego become a leader in software, wireless technology and biotechnology while Miami’s promise in these areas has yet to be realized? What is missing in Miami’s equation is a pool of high-growth ventures in a variety of technologies and service-related businesses. While the Scripps project suggests we could have a vibrant biotechnology sector, several factors must still be put into place if this dream is not to become an expensive nightmare.
Clearly, we already have the intellectual talent at our research universities, the University of Miami and Florida International University. It is not just identifying good technology ideas at Scripps, UM or FIU – it is a systematic approach to turn that intellectual property into commercially viable firms to support the economy of the region.
It is in this area that we have a poor track record. Once we have viable technology, we need well-established angel investor groups that are sophisticated in a variety of technologies, especially biotechnology. A hopeful sign is that the New World Angels are forming. Yet today, Miami is woefully behind many of its competitor cities in this endeavor, especially San Diego. It was not just Scripps that turned San Diego into a Mecca for biotechnology – it was a focused group of angel investors, led by UC Connect, who were determined to turn research from it and the University of California, San Diego into viable technology firms.
How do we persuade those with wealth in South Florida to invest in the future of the community? If we can have record sales at our art expositions, why cannot we also have record investment in our local technology firms?
We also will need seed-stage venture-capital funds that see South Florida as their home and want to build significant new businesses here. It is these investors, not politicians, who often determine where a firm will be. Many investors come and take our new technology back to Atlanta or San Francisco because they claim there is a lack of talent here to develop and run these firms. Venture-capitalists will not even arrive if we cannot show significant commercially viable research endeavors at our universities and if angel investors do not invest in these.
Finally, what we need is to foster the development of sophisticated, technology-savvy entrepreneurs who want to start and run firms here. Our educational institutions must step up to this challenge by providing not just entrepreneurial education in business schools but also to our engineering, science and medical students. If we do not invest in the intellectual capacity of our citizens, we will never reach our potential as the entrepreneurial city.