Seroba eyes potential investments from €100m fund

First investment to be in Endotronix, which makes products for treating heart disease

The fund launched by Seroba Life Sciences will typically place up to €10 million with each business it chooses to back. Photograph: iStock

The fund launched by Seroba Life Sciences will typically place up to €10 million with each business it chooses to back. Photograph: iStock

 

Venture capitalist Seroba Life Sciences is eyeing several candidates for investment from the €100 million fund it has just launched.

The firm said on Thursday it had closed its third fund, which totals €100 million, and announced that its first investment would be Endotronix Ireland, whose products are used in treating heart disease.

Seroba’s managing partner, Peter Sandys, said it was close to announcing a deal with a second company and was in talks with others. “We have got a very good pipeline,” he said.

Enterprise Ireland’s €175 million seed- and venture-capital programme, the €8 billion Ireland Strategic Investment Fund and the European Investment Fund are all supporting Seroba.

The fund will focus on new companies developing drugs, medical devices and other treatments with the potential to deliver a “significant return” on investment.

Strong pipeline

Mr Sandys predicted that it would support 10 to 12 companies over the fund’s life. Typically it will place up to €10 million with each business it chooses to back.

“We feel that this is an excellent time to launch a new life-sciences fund as there is a strong pipeline of investment opportunities and an ongoing robust demand for new, innovative products from the healthcare industry,” he said.

Seroba will invest mainly in Irish, British and European businesses and will consider backing US companies that want to establish a presence in the Republic. It will split its cash 50/50 half between Irish and overseas businesses.

James Greene, founder of Seroba’s previous and successful investments, Apica, is joining the fund as a partner. Other businesses it has backed in the past include Novate Medical, which makes devices to prevent blood clots.

Mr Sandys pointed out that the medical devices industry was “particularly strong” in Ireland, largely as a result of initiatives to develop the sector, such as the Royal College of Surgeons-supported innovation centre i360 Medical.

Walter Hobbs, Enterprise Ireland’s director of investment, said the agency looked forward to working with Seroba to support further growth of the Irish industry in world markets.