NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Friday, August 12, 2016

An investment fund backed by Microsoft founder Bill Gates has taken a multimillion dollar stake in an Australian biotech start-up. Atomo Diagnostics has invented quick, cheap and accurate tests for HIV, malaria and Ebola.

Global Health Investment Fund purchased an 8.4% stake in the medical company for about A$3.3m (£1.9m, $2.5m). The fund, a joint venture between the Gates Foundation and JPMorgan, finances initiatives that benefit global health. The US fund focuses on infectious diseases that include malaria, pre-eclampsia, cholera and river blindness.

Atomo’s valuation after the latest round of investment is around A$30m. Other major investors in the company include Macquarie Group chief executive Allan Moss and billionaire property developer Lang Walker. A spokesman for the medical device company said that it was one of the few groups the Gates-backed fund had invested in directly.