Fountain Healthcare Partners

Fountain Healthcare Partners Launches Second Fund

Initial Fund Close of €85 million

Dublin, Ireland and New York, USA – Fountain Healthcare Partners (“Fountain”) today announces the initial closing of its second fund, Fountain Healthcare Partners Fund II, L.P. with €85 million of committed capital.

The fund is a dedicated life science venture capital (“VC”) fund and brings Fountain’s total capital under management to €158 million. Within the life science sector, Fund II will primarily focus on specialty pharmaceuticals, biotechnology, medical devices and diagnostics.

Fountain will invest over 75% of its capital in Europe with the balance in the US market. Having exceeded its initial close target, Fountain is now seeking additional investors to close Fund II with a hard cap of €125 million.

Over 90% of the initial €85 million capital raised was sourced from major domestic and international institutional investors, predominantly fund of funds, sovereign funds, pension funds, and a strategic corporate investor.

Fund II is expected to make 10 to 15 investments and has already completed two deals:

• Chrono Therapeutics, developing a novel, digital transdermal drug delivery platform coupled with real-time behavioral support with initial focus on a next generation smoking cessation therapy; and,

• Innocoll, a Phase III clinical stage specialty pharma company developing products for the treatment of post-operative pain, diabetic foot infections and surgical adhesions.

Dr Manus Rogan, co-Founder and Managing Partner at Fountain, commented:

“Fountain’s investment strategy focuses on building a balanced portfolio of companies with complementary risk and return profiles within the life science sector. This strategy has resulted in both strong absolute and relative returns from our first fund. The performance of our first fund is reflected in both the level and quality of new and existing investor participation in Fund II. With €85 million raised we are also pleased to have exceeded our initial close target of €75 million against a widely accepted challenging fundraising backdrop in the venture capital sector.”

Aidan King, co-Founder and Managing Partner at Fountain, added:

“The life science sector has been one of the best performing sectors in the past two years with returns surpassing the major global indices and a record number of IPOs and public offerings. Strong demand for life science investments is a reflection of investor’s belief in the underlying growth dynamics of the sector and the investment return opportunities presented by innovative life science companies.”

 

About Fountain Healthcare Partners

Fountain Healthcare Partners is a life science venture capital fund with offices in Dublin, and New York. Founded in 2008, Fountain is Ireland’s largest dedicated life science venture capital fund with more than €155 million under management.

Fountain invests in entrepreneurs and companies with disruptive technologies or products that have a clear pharmacoeconomic benefit and a defined pathway to commercialisation, value enhancement and exit. Fountain typically leads or co-leads its investments and has sourced private and public deals from start-ups, corporate spin-outs and turnaround situations. The four principals at Fountain, Manus Rogan, Aidan King, Ena Prosser and Justin Lynch brings to investees over 70 years of collective experience in the pharmaceutical industry, corporate venture capital and VC across multiple investment and market cycles.

For more information please visit: www.fh-partners.com

 

Contact Information:

Manus Rogan | Managing Partner
Manus.Rogan@fh-partners.com
T: +353 1 5225111

Jonathan Neilan | FTI Consulting
jonathan.neilan@fticonsulting.com
T: +353 1 6633686, M: +353 (0) 86 231 4135

Jennifer Peters | FTI Consulting
jennifer.peters@fticonsulting.com
T: +353 1 6633684, M: +353 (0) 87 178 7021

New Chairman for Irish Venture Capital Association

Dublin, 7th September, 2012: Dr Manus Rogan, managing partner and co-founder of Fountain Healthcare Partners, has been elected chairman of the Irish Venture Capital Association (IVCA). He succeeds Maurice Roche, partner in Delta Partners.

The Irish Venture Capital Association is the representative organisation for venture capital firms in Ireland. In the last ten years Irish VCs have invested €1.5bn into Irish SMEs and have attracted an additional €1.5bn from international VCs through syndication.

Dr Rogan has over 23 years investment and operating experience in the life science sector in the US, Europe and Japan. He began his career at GlaxoSmithKline in the UK. In 1996 he joined Elan Corporation where he concluded over 25 investment and technology licensing transactions globally. He currently serves on the board of Opsona Therapeutics and until recently represented Fountain Healthcare Partners on the Amarin Corporation board.

Dr Rogan holds a PhD in chemistry from the University of York (sponsored by GlaxoSmithKline) and an MBA from Trinity College Dublin.

Launch of Fountain Healthcare Partners, a Life Science Venture Capital Firm

Launch of Fountain Healthcare Partners, a Life Science Venture Capital Firm

-- announces First Close of €75 ($117) million --

-- largest life science venture capital ("VC") fund launched in Ireland --

-- one of the largest emerging manager VC funds raised in the life science sector globally --

-- headquartered in Dublin, Fountain will invest the majority of its capital in Europe with a primary focus on Ireland --

Dublin, Ireland., and New York April 29th 2008 - Fountain Healthcare Partners ("Fountain") today launches and announces the first close of its inaugural fund, Fountain Healthcare Partners I, with €75 ($117) million of committed capital.

The fund is the largest dedicated life science (specialty pharmaceuticals, biotechnology, medical devices and diagnostics) venture capital ("VC") firm based in Ireland. It is also one of the largest emerging manager VC funds raised in the life science sector globally in the past 2 years.

Fountain will invest the majority of its capital in Europe and will have a strong emphasis on the life science sector in Ireland. The first close significantly exceeded initial expectations and Fountain is now targeting approximately €100 million in commitments at its final close.

Over 90% of the capital invested in the fund was sourced from institutional investors of which 75% are Irish based.  Institutional investors include the European Investment Fund, the National Pension Reserve Fund and Enterprise Ireland. A select number of high net worth individual investors also participated. "We have been very pleased with the level and quality of investor participation in the first close. There was clear support for our investment strategy, and we significantly exceeded our original first close target," said Dr Manus Rogan, a founding partner at Fountain.

Fountain is a bi-located fund with a main office in Dublin and a second office in New York. "The purpose of our New York office is to maintain on-the-ground connectivity with the US life-science sector.  Specifically this office will provide our firm and our investee companies access to people, intellectual property, partnering and exit opportunities, syndication capital and deal flow," said Aidan King, Fountain's New York based partner.

Speaking at the launch of the fund, Minister for Enterprise, Trade and Employment, Micheál Martin T.D, said " A dynamic and healthy venture capital market is a prerequisite for the growth and development of high potential start-up companies in Ireland. I am delighted to announce the establishment of Fountain Healthcare Partners I, the fourth fund to be established under the Enterprise Ireland Seed and Venture Capital Scheme 2007-2012."

"The life science, healthcare and pharmaceutical sectors are key sectors in the Irish economy employing over 40,000 people in Ireland. The Fountain Fund is therefore very significant given its size and its focus on the life sciences sector" he added.

Fountain is a product-focused VC fund and will invest in companies with product development programmes that have a defined pathway to commercialisation, value enhancement and exit.  The principals will take an active role with investees and will bring considerable industry expertise and a deep network of contacts in the US, Europe and Asia to investee companies.

The Fund will invest €0.5m to €7.0 million per company and will have an emphasis on the following sub-sectors: specialty pharmaceuticals, biotechnology, medical devices and diagnostics.  Fountain will invest this capital over multiple funding rounds alongside international and domestic life science focused VC firms.

Fountain's investment premise holds that the global lifescience sector dynamics are currently very favourable for smaller venture backed private companies. Fountain also maintains that the Irish life science industry is at a turning point and has been underserved from a VC perspective.

  • Ireland is Europe's most established location for global life science companies with over 40,000 people employed in the sector generating exports of over €27 billion. Thirteen of the top 15 pharmaceutical companies and 15 of the largest 25 medical device companies in the world have substantial operations in Ireland.
  • The Irish government, over the period from 2000 to 2008, will have invested over €8 billion to accelerate the development of an indigenous science and technology base. A further €8.2 billion will be invested between 2006 and 2013.
  • In the past five years a significant number of life science companies have been formed in Ireland and many are actively seeking capital to advance product development.
  • Venture investing in the life science sector in Ireland has lagged behind other life science clusters in the US or Europe.  Fountain is being established to fill this gap and capitalise on this opportunity.

 

Contact Information:

Ireland:

Aisling Garvey
FD – Dublin
Tel: + 353 1663 3607
+ 353 8741 69662

UK & Europe:

Deborah Scott/John Dineen
FD- London
Tel: + 44 (0)20 7269 7193

 

About Fountain Healthcare Partners

Headquartered in Dublin, Fountain Healthcare Partners is Ireland's largest dedicated life science venture capital fund. A spin-out investment team from Elan Corporation's corporate venture capital group, Fountain launched its inaugural fund in 2008.  Fountain will invest the majority of its capital in Europe with a primary focus on Ireland. Specific areas of interest to Fountain are specialty pharmaceuticals, biotechnology, medical devices and diagnostics.   For more information please visit www.fh-partners.com.

The principals in Fountain are Dr Manus Rogan (Elan Corporation, GlaxoSmithKline), Aidan King (Bio-IB, Elan Corporation), Dr Ena Prosser (Enterprise Ireland, Elan Corporation) and Justin Lynch (LegendCare, Fyffes, Jones Group and NCB). The core team is also supported by world class Business and Scientific Advisory Boards.

Fountain's core team have over 60 years of venture investment and operational experience in the life sciences industry, making the firm the most experienced life science VC firm based in Ireland.  As former members of Elan Corporation's (NYSE:ELN) corporate VC group, Fountain's principals have invested in 25 life science companies prior to setting up Fountain. These include Acusphere (IPO on NASDAQ, ACUS), Allergy Therapeutics (IPO on AIM, AGY:LN),  Idun Therapeutics (acquired by Pfizer), Atrix Laboratories (acquired by QLT Inc.) and Sirna Therapeutics (acquired by Merck & Co.). 

 

The EIF's investment in Fountain is though the European Union's Competitiveness and Innovation Framework Programme ("CIP")