Home / Vivo Capital: Funding, Biotech Investments, & Legal Moves

Vivo Capital: Funding, Biotech Investments, & Legal Moves

By: Jasmin Espinas
May 10, 2025

Vivo Capital is a healthcare-focused investment firm known for supporting both early-stage startups and established companies in biotech and medical innovation. Over the years, it’s helped fund new drugs, medical devices, and healthcare services that aim to improve lives.

In this roundup, we’ll break down what’s new with Vivo Capital—from its latest round of funding and recent investments to an ongoing legal battle with Sinovac, a vaccine maker based in China.

Vivo Capital Secures $740 Million In Funding

On May 7, 2025, Vivo Capital finished the third round of its Vivo Opportunity Fund and related groups. Together, they raised over $740 million. This money will go toward healthcare companies working on new treatments, especially those still in the early stages of research or testing.

Unlike most funds that run for a set amount of time, this one uses an evergreen three-year cycle. This setup gives Vivo more flexibility to keep investing regularly without having to start over every few years.

Currently, Vivo Capital manages about $5.3 billion in assets. Since launching in 1996, the firm has invested in more than 430 companies around the world, both public and private.

Kevin Dai, one of Vivo’s managing directors, said the fund takes a venture capital approach to public markets. It mixes long-term investment with deep knowledge of the healthcare field to help grow value for investors.

Dr. Gaurav Aggarwal, another managing partner, said the firm has been focusing on healthcare for nearly 30 years. He thanked the founders behind the medical breakthroughs they’ve supported and appreciated both new and returning partners who continue to back the fund.

Recent Investments: Companies With Significant Milestones

Vivo Capital plans to keep investing in promising healthcare companies, especially those working on treatments that could make a real difference. The goal is to support scientific progress while also delivering strong returns for its backers.

So far, earlier rounds of funding have already led to big steps forward. Some companies earned approval from the U.S. Food and Drug Administration (FDA), while others caught the attention of larger pharmaceutical firms and were later acquired.

Here are a few recent examples:

Verona Pharmaceuticals got FDA approval in 2024 for Ohtuvayre™, a treatment for chronic obstructive pulmonary disease (COPD).
Geron Corporation also gained approval in 2024 for RYTELO™, which helps treat low-risk myelodysplastic syndrome, a blood-related condition.
Avadel Pharmaceuticals received approval in 2023 for Lumryz™, a once-nightly medication for people with narcolepsy.
Soleno Therapeutics shared in March 2025 that the FDA approved VYKAT™ XR for Prader-Willi Syndrome. It’s the first drug cleared to treat the core symptoms of this rare disorder.

Vivo Capital vs. Sinovac: Updates On Legal Dispute

On April 23, 2025, Vivo Capital announced it was taking legal action against Sinovac Biotech Ltd. The firm is pushing back against decisions made by Sinovac’s current board, which investor group 1Globe Capital and its partners support.

The disagreement centers around a $55 per share cash payout that Sinovac plans to give its shareholders. Vivo Capital believes it should receive the same payment and is asking the court to stop the distribution unless it’s included.

On April 29, Sinovac responded with a public letter to its shareholders. The company denied Vivo’s claims and said the group was twisting past events to benefit financially. Sinovac also defended its board’s decisions, saying they were legal and fair.

The case is still ongoing, and both sides continue to argue their positions.

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What’s Next for Vivo Capital In Biotech and Beyond?

Vivo Capital continues to be a strong player in healthcare investing. Its focus on early-stage biotech, public companies, and long-term investment strategies suggests more activity ahead.

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