Connecticut Innovations (CI), the state's strategic venture capital arm, generated a record $66.5 million in cash proceeds this fiscal year, headlined by the sale of biotech company Halda Therapeutics for $3.05 billion.
The sale marked the largest private biotech mergers and acquisitions (M&A) deal on record. Combined with other exits, CI reported $76.1 million in total investment returns for the fiscal year ending June 30, 2026.
CI also invested $59.3 million in 75 early-stage companies and venture funds during the year, leveraging $1.2 billion in outside capital. Additional portfolio exits included Veradermics, a biotech company that raised $256.3 million in an initial public offering (IPO) on the New York Stock Exchange (NYSE), and Quantum Circuits Inc., which was acquired by D-Wave Quantum for $550 million.
CI's leadership highlighted the significance of the biotech exits for the state's innovation economy. Matt McCooe, CEO of Connecticut Innovations, said, "This was a landmark year for Connecticut Innovations and for the state's innovation economy. The success of Halda Therapeutics and Veradermics - respectively becoming the largest private biotech M&A transaction and the best-performing biotech IPO in the market at the time - demonstrates the trajectory New Haven and Connecticut are on as they continue to emerge as global leaders in life sciences innovation."
CI also launched its AI/Q Fund during the fiscal year, targeting scalable commercial artificial intelligence (AI) and quantum computing ventures, following the Quantum Circuits acquisition.
The AI/Q Fund's leadership pointed to continued momentum in the sector. "The acquisition of Quantum Circuits Inc. marks an exciting milestone for Connecticut's quantum ecosystem and reinforces the opportunity we see every day through our AI/Q Fund," said Gwen Cheni, director of the AI/Q Fund. "We're already investing in exceptional founders building AI and quantum companies, and we believe this is just the beginning of a new wave of innovation that will create lasting economic impact for the state."
The fiscal year's results underscore Connecticut Innovations' role in advancing the state's biotech and life sciences sector, from early-stage funding to major exits that raise the state's profile in research and innovation.
