The Kansas Department of Commerce is in the final stages of preparations necessary to formally initiate the sale of the Kansas Bioscience Authority investment portfolio. The initiative will seek to identify one or more private market partners to take over the investment role of the KBA while returning maximum value to the State’s taxpayers.
On July 20, 2016, the Kansas State Finance Council approved the merger of the Kansas Bioscience Authority into the Kansas Department of Commerce. The merger will be completed on the July 22, 2016, effectively dissolving the KBA.
“The privatization process of the KBA portfolio of companies is nearly ready to begin and now will be led by the Department of Commerce,” said Commerce Secretary Antonio Soave. “This merger of the KBA and the Department of Commerce will help accelerate and clarify the sales process to the private market, serving both the portfolio companies and the investment community.”
At its December 18, 2015, meeting, the Kansas Bioscience Authority board of directors voted unanimously to transfer the assets and obligations of the organization to the private market. The board stated then that the shift of the organization’s mission to the private market would allow portfolio companies to partner with experienced investors in the private sector, retaining Kansas bioscience jobs and paving the way for the continued growth of the sector in Kansas.
Created by the Kansas Economic Growth Act of 2004, the KBA worked to selectively invest in a portfolio of innovative, early-stage companies in the areas of human health, animal health and ag technology.