Two of the Pittsburgh region's prominent startup incubators are set to receive an injection of funds from the state government.
LifeX Greenhouses Inc., the life sciences startup incubator established by the University of Pittsburgh, as well as Innovation Works Inc., which helps tech entrepreneurs throughout the city grow their businesses, will both be receiving funds, via the Direct Venture Investment program. LifeX Greenhouses, which is one of only three organizations in the state with the life sciences greenhouse designation, will received over $14.7 million, and Innovation Works will receive over $19.6 million.
The Direct Venture Investment program provides funding to economic development organizations throughout the state, with the goal of providing seed and later-stage capital for growing companies that develop technologically advanced products and processes. In total, nearly $123 million in Direct Venture Investment funding was awarded throughout Pennsylvania.
“It is true that the $14.7 million going to LifeX Greenhouse is much needed, early-stage funding that can be deployed to local life-science companies," Evan Facher, vice chancellor for innovation and entrepreneurship and associate dean for commercial translation in the University of Pittsburgh School of Medicine, said in a statement. "This funding does not currently exist in the region and has not for a while. As such, we are now in a better position to grow these companies in southwestern Pennsylvania and keep them here as they mature. The other item is that when this funding is combined with the top-class programming and support service offered by LifeX, there is an opportunity to do something really special with growing our life science ecosystem.”
The Direct Venture Investment funding, combined with the more than $123.8 million in Revolving Loan Funds also announced by Governor Tom Wolf's office, amount to $246 million total that will go towards small businesses. The funds come from the American Rescue Plan.
“The dollars awarded today will help businesses that are small, socially and economically disadvantaged, and those in the innovation and technology sector grow and thrive,” Wolf said in a release. “This funding aligns perfectly with my continued commitment to support businesses in Pennsylvania.”
