Omega Funds has announced the successful close of its eighth flagship fund, raising $647 million to back life sciences startups focused on tackling serious, unmet medical needs. The fund slightly trailed the $650 million raised in its previous round in 2021, but still exceeded its internal target of $600 million—thanks to strong backing from both longstanding supporters and new limited partners.

The venture capital firm, which launched in 2004, now boasts a cumulative $2.5 billion raised across its investment vehicles. Staying true to its mission, Omega will continue to invest in early- and late-stage biotech companies across the U.S. and Europe, with a focus on transformative science and high-impact therapeutics.

Omega’s portfolio has proven remarkably successful. To date, 50 of its portfolio companies have been acquired, while 47 have gone public. Notable exits include Scorpion Therapeutics, which was acquired by Eli Lilly in a deal worth up to $2.5 billion, and EyeBio, sold to Merck & Co. for $1.3 billion last year.

“Fund VIII will continue our commitment to supporting visionary teams through all stages of company building—from launch through growth,” said Francesco Draetta, Managing Director at Omega. “Given today’s uncertain macroeconomic and policy environment, we believe our diversified approach is more relevant than ever. We’re excited to continue working closely with entrepreneurs, founders, and fellow investors to advance new standards of care.”

The fund launch comes at a challenging moment for biotech investing. GlobalData reported a 20% drop in biopharma venture financing in Q1 2025 compared to the previous year. Still, Omega is among a handful of firms bucking the trend, alongside peers like Vivo Capital, which secured $740 million in May for early-stage biotech investments.

Despite broader headwinds, Omega’s latest fund underscores investor confidence in science-driven innovation—and in the firm’s track record of delivering results.