ArchiMed holds €100m first close on debut fund

The France-based fund will focus on lower-middle market healthcare firms.  

ArchiMed, a new France-based private equity firm has held a €100m on its inaugural fund – Med I FIA. The fund is targeting €120m. The hard cap is €150m, according to sources familiar with the matter.

The initial investors include a mix of institutions and private individuals. Triago is acting as the placement agent for the fund.

ArchiMed will be the first dedicated healthcare fund in Europe, and is founded by Denis Ribon.  Ribon was previously the global head of healthcare at 3i. Ribon brought three other members of the 3i healthcare team with him to start the fund. The first close coincides with the end of Ribon’s notice period at 3i.

“In European healthcare, the demand for specialized capital greatly exceeds supply,” Ribon said in a statement.

The fund is currently working on deals in France, the UK and Switzerland, investing in established middle-market healthcare companies. The fund will target €5 million to €15 million per operation, primarily through leveraged buyouts.

3i has quietly lost a number of executives over the past year. David Whileman resigned as the head of UK investments to join Inflexion, and Tomas Ekman head of 3i’s Nordic operations also left after the company decided to focus on leveraged buyouts. 3i’s performance, however, is improving following successful exits like the recent Hilite transaction which netted a 2.1x return. The FTSE announced last week that 3i will be promoted to the FTSE 100, as PEI reported at the time.