MLSCF co-chairman and director Dr Roger Wyse said one firm is developing bio-butanol from palm oil, another manufactures medical devices for cancer treatment, while the other five are working on a range of diagnostic therapeutic drugs.

"To date, we have invested 14 per cent of the US$150 million (RM508.5 million) fund in seven companies.

"The maximum we can put in one company is US$8 million (RM27.1 million), but we don't invest it at one go," he said at a media briefing in Kuala Lumpur yesterday.

Also present were MLSCF chief executive officer Dr Ganesh M. Kishore, who is also Burrill & Co managing director; and MLSCF co-chairman Azlin Alias, who is also Malaysian Technology Development Corp Sdn Bhd (MTDC) chief executive officer.

The MLSCF, which is co-managed by MTDC and San Francisco-based Burrill & Co, was founded in late 2006 with US$150 million capital. It aims to invest in the life sciences sector in Malaysia and globally, to bring in attractive returns to investors and help accelerate biotech initiatives in Malaysia.

Wyse said 30 per cent of the MLSCF, or about US$45 million (RM152.6 million), is invested in Burrill Life Sciences Capital Fund (BLSCF), while the remaining 70 per cent or about US$105 million (RM355.9 million) is managed by MLSCF.

Five of the seven companies were injected with funds from BLSCF, while another two - the bio-butanol producer and cancer treatment device maker - from MLSCF.

"Both companies identified by MLSCF are headquartered in the US, but one is moving its manufacturing operations to Malaysia and another already has a design and manufacturing facility in Penang," he said.

In Malaysia, MLSCF plans to invest in between four to five companies a year, with a target of 12 companies in three years. MLSCF has already received business proposals from 35 local companies.

After building up these companies, Wyse said, the fund hopes to give attractive returns to investors through exit strategies that include initial public offerings or acquisitions by larger companies.