Colossal Biosciences Raises $200M to Revive Woolly Mammoths

Colossal Biosciences Secures $200 Million in Series C Funding

Colossal Biosciences, renowned for its ambitious endeavor to revive the woolly mammoth alongside two other extinct species, has successfully raised $200 million in a Series C funding round. This investment, led by TWG Global – the investment firm of Guggenheim Partners co-founder Mark Walter and billionaire Thomas Tull – values the company at $10.2 billion.

This funding arrives two years following the completion of their previous funding round, which had a reported valuation of $1.5 billion.

Investor Confidence in Long-Term Projects

The substantial capital injection and impressive valuation raise a key question: why are investors so willing to invest heavily in a company that currently lacks revenue, with its primary projects – the resurrection of the mammoth and Tasmanian tiger – not anticipated to conclude until 2028?

According to Ben Lamm, Colossal Biosciences’ co-founder and CEO, the investor confidence stems from the rapid development of innovative technologies within the company.

Progress on Multiple De-Extinction Projects

Colossal Biosciences asserts it has achieved noteworthy advancements across all three of its core projects. These include the woolly mammoth, the Tasmanian tiger (also known as the thylacine), and the dodo bird, maintaining or even exceeding their projected timelines for species revival.

The Science Behind De-Extinction

The company’s methodology for bringing back extinct animals centers on completely mapping the genome of the target species. This genetic blueprint is then meticulously compared to that of its closest living relative – in the mammoth’s case, the Asian elephant.

Genome mapping has been finalized for both the mammoth and the thylacine. Scientists are now utilizing the CRISPR gene-editing tool to modify cells from the Asian elephant.

The final stage involves introducing these modified cells into an egg cell, followed by implantation into an elephant, ultimately leading to the birth of a mammoth calf, as explained by Lamm.

Beyond De-Extinction: Technological Innovation

To facilitate its ambitious goals, Colossal Biosciences is actively developing a range of technologies, notably including artificial wombs. These are envisioned as the future birthing method for generations of “de-extinct” animals.

These technologies themselves hold significant potential, extending far beyond de-extinction to impact human healthcare and agricultural technology.

Value Proposition for Investors

While the restoration of extinct species and the enhancement of biodiversity represent Colossal Biosciences’ ultimate objectives, the true value for investors likely resides in the potential applications of its developed technologies.

Spin-Offs and Revenue Streams

Colossal Biosciences intends to launch three independent businesses within the next two years. One of these will focus on its artificial womb technology, with potential applications in fertility treatments.

The company has already established two spin-off ventures. Breaking, dedicated to plastic degradation, secured $10.5 million in seed funding last year. Form Bio, a computational biology platform, has raised $30 million in funding.

Government Partnerships and Biodiversity Credits

Collaborations with governments represent another potential revenue source. Colossal offers its conservation technologies to governments without charge, but several nations are now seeking assistance in preserving endangered species.

Furthermore, some governments are investigating de-extinction projects for animals that possess cultural or spiritual significance.

Successful reintroduction of species into their natural habitats is expected to generate revenue through the sale of biodiversity credits, a market-based system analogous to carbon credits.

Future Economic Potential

Lamm anticipates that these three revenue streams – technology licensing, government collaborations, and biodiversity credits – could collectively generate billions of dollars in annual recurring revenue. This demonstrates the company’s “short-term, mid-term, and long-term economic” viability.