Over the years, HD3 has assisted hundreds of innovators and entrepreneurs with their young companies, startups, concepts and discoveries — with the strategic advice, connections and improvements -- that only collective wisdom can deliver. For the few who become an HD3 portfolio company, they gain full access to the HD3 network and we work as partners to accelerate their opportunity to become a robust, high-growth enterprise.
Either through our signature Discovery Day events, by referral or spinoff, HD3 selectively adds up to 5-6 new promising startups each year to its portfolio, and then drives their growth alongside their innovation team or entrepreneur.
We partner with industry and trade groups, economic development groups, universities, laboratories and government agencies to identify and encourage promising innovators to bring forward their ideas and present them to HD3. Through a process of due diligence, getting to know the team, understanding the market and opportunity, learning what is needed and if/how we can be of assistance, HD3 may ultimately form an equity partnership and/or advisory services relationship with the company.
Many factors are involved in becoming an HD3 portfolio company. But first and foremost, an exceptional market-based idea, innovation or product is required. Also high among our criterion when considering a startup relationship is to work alongside people who we enjoy, trust, who are coachable and team oriented. At HD3, we often say, it takes a village to grow a startup. Yet, we know and all HD3 founders know, traveling the journey with others who have done it before, dramatically increases the odds of success.
We are pleased and proud to showcase but a few of our most promising portfolio companies who are growing steadily and robustly. Each is walking the extremely difficult path of high technology startup success - taking a great innovation to the marketplace, while navigating the endless hurdles all founders face when creating and building something from scratch.
New Mexico is one of the largest oil and gas producing states. And the market for heavy oil is growing on a worldwide basis. Indeed, following one of the most severe market downturns seen by the oil and gas industry in recent decades, global producers are seeking innovative solutions that improve margins and improve efficiencies. One of HD3’s first portfolio companies aims to do just that.
HOS was founded when Dr. Steve Yarbro – a Lovington, New Mexico native and longtime Los Alamos National Laboratory chemical engineer – presented at a 2012 Discovery Day. His innovation, Super Critical Water Extraction and Refining (known as SCWER), is a technology process that uses the high solvent capacity of supercritical water to thermally crack heavy oil and bitumen into higher value compounds. The SCWER system is a simple, skid-mounted unit placed at the wellhead. The SCWER process has been tested on a laboratory scale with a variety of samples from sites across the United States and the Canadian Oil Sands.
About a decade ago, the California wine industry came calling to New Mexico – seeking solutions to some pesty pathogens that for decades had a devastating impact on the grape vines in the U.S. Industry leaders had been following the research of Dr. Goutam Gupta, who was developing novel innate approaches to therapy.
In 2016, a new HD3 startup, called Innate Immunity was born that acknowledges the rapid emergence of pathogenic resistance against drugs, antibiotics, and vaccines warrants radically novel approaches to therapy.
HD3 and founder Dr. Gupta have reignited their partnerships with the California wine industry and will work collaboratively to host field trials with the largest nurseries supplying the industry beginning in 2016. Additional crops that may become future market segments for Innate Immunity therapies include citrus, apples, and other high value crops.
In 2019, due to the awareness that the platform could be instructive and applicable to an array of human diseases also, Immunological Solutions, Inc. was founded by the founders and investors of Innate Immunity. Currently, "babyco" is working closely with R/D and biotech partners to solve various lung infections and food poisoning related infectious diseases.
When Dr. Alex Koglin, a Los Alamos J. Oppenheimer Fellow and German Biochemist, approached HD3 in the winter of 2014 to explore what it might take to start a biotech startup in New Mexico, he was adamant “We will stay in New Mexico”.
NTxBio, LLC is a Santa Fe-based bioinformatics and biomanufacturing startup company that develops and advances a platform for research to mid-scale and host-independent biological manufacturing. The platform enables high-throughput screening for and production of biological materials with defined qualities. NTxBio’s invention further allows real-time metabolic profiling of bacteria, fungi and plants to discover, characterize and produce bioactive natural products with increased reproducibility, at a reduced footprint and accelerated time effort compared to established methods. The goal is to provide novel materials for diverse product development and drug leads for clinical development, which can counter infectious diseases that present a public health threat and are of concern to biosecurity.
Growing steadily at the Santa Fe Community College since 2016, the company recently announced its plans to relocate to a new local location where it can continue its growth plans for years ahead. Also, its sister spinoffs (4 in total so far) will have a perch too to grow from as they strategically set out to corner their own particular business model and market opportunity.
The idea that New Mexico has a largely untapped yet highly promising entrepreneurial and innovator pool of Post Docs working inside our state’s DOE labs and elsewhere, was something HD3 started exploring early on in our history. And it was during the Winter of 2013, that one such Post Doc was ‘discovered’. Dr. Hunter McDaniel – a Los Alamos National Laboratory Post Doc who – along with a disruptive technology primed to enter the marketplace – also seemed to possess that entrepreneurial gene. Thus, after presenting at the HD3 Discovery Day in Los Alamos, UbiQD, short for ubiquitous quantum dots, was born.
A cleantech materials company was spun out of LANL that manufactures optical components for energy applications. The company’s core technology is based on low-toxicity “quantum dots”, which are particularly attractive due to their ability to efficiently manipulate the spectrum of light. UbiQD’s materials are primarily utilized for LED lighting and building-integrated solar, with the first products aimed at the horticulture industry. The company’s vision is to be the worldwide leader in quantum dot technology by turning the glass on skyscrapers into the power supply of cities.
HD3 assisted in accelerating UBQid identifying a few advisors and board directors, and raised early seed capital. Since then, HD3 advisors have participated in bringing solid mentorship, connections and guidance to their growth.