Danish investment fund will draw big life science investments to Denmark

October 21, 2019
The French venture capital fund Sofinnova Partners is launching a new fund focusing on life science. Vaekstfonden, the Danish state’s investment fund, is among the supporters and several Danish companies are already in the spotlight.

There may be big investments in line for some promising Danish life science companies when the French venture capital fund Sofinnova Partners kicks off its new fund, named Sofinnova Capital 9, which focuses on the medical and biotech industry. This is the assessment of Vaekstfonden, who has made a commitment of €20 million through the fund Dansk Vaekstkapital 2, which has contributed to the total amount of €333 million that Sofinnova Partners has managed to raise for the new fund.

According to a press release by MedWatch, Jacob Hübertz, CFO of Vaekstfonden, expects that the new fund will invest in 1-2 Danish pharmaceutical or MedTech companies within the next 4-5 years.  

The new fund will invest in both pharmaceutical and MedTech companies, where approximately two-thirds of the money will go to European companies, whereas the last third will go to companies in the US. According to the press release by MedWatch, Jacob Hübertz thinks this is a golden opportunity to further strengthen the Danish life science sector, where there are relatively few active foreign players at the moment. 

The new fund has also gained a strong Danish resource in the partner group. Henrijette Richter, who has been managing partner of Soffinova Partners since 2014 and who previously had a leading role in Novo Seeds has joined the partner group. Her presence in the partner group will most likely mean that the new fund will have a keen eye on Denmark when it selects the pharmaceutical and MedTech companies to invest in.

According to the press release, Jacob Hübertz says that the people behind the new fund have already specifically identified exciting investments in Danish companies. Jacob Hübertz believes that the Danish life science sector is very strong compared to other countries in Europe, which has caught the attention of the Sofinnova Partners and their new fund.