Euro deal round-up 11/02/04

Cyclacel takes venture funding to $123m; Sovereign backs UK care homes buyout; Sanos lands €8m Series A round; 3i, Montagu lead $15m Searchspace round; Transatlantic funding for Pertinence Data; Soffinova backs wireless start-up; Siemens spin-off lands €4.4m second round; Elliptic lands €8.5m backing from Apax, IVC

Cyclacel takes venture funding to $123m


Cyclacel Limited, a UK-based biopharmaceutical company spun out of the University of Edinburgh, has completed a $39 million (£21.3 million; €30.68 million) Series D private placement with a global syndicate of new and existing institutional investors.


The placement, which was oversubscribed, involved 20 institutional investors. New investors were Société Générale Asset Management Alternative Investments (France), together with Carnegie Fund (Sweden), DC Thomson & Co (UK), NIF Ventures (Japan), Quest for Growth (Belgium) and UOB Venture Technology Investments (Singapore).

Quester Capital Management (UK), Scottish Equity Partners (UK) and Temasek Holdings (Singapore) are among the firm’s original investors.


Paul McBarron, CFO of Cyclacel said: “This latest round brings the aggregate amount raised from private equity sources since starting operations six years ago to approximately $123 million. To our knowledge we are the first European university spin-out ever to raise over $100 million in private equity.”


Sovereign backs UK care homes buyout


Sovereign Capital Limited, the mid-market UK private equity firm, has completed the £12.5 million ($23.3 million; €18.36 million) buyout of Orchard End, a group of specialist care homes for adults with permanent learning disabilities. Founded in 1992, OEG has eight care homes in Gloucestershire. The company employs 110 people who provide specialist services and residential care for adults with complex needs and severe learning disabilities. OEG will be managed by Community Homes of Intensive Care and Education (CHOICE).


Sovereign led the MBO of CHOICE in March 2002.


Sanos lands €8m Series A round


Sanos Bioscience, a spin-out from Nordic Bioscience focusing on the development of a treatment for osteoporosis, has announced a DKr60 million (€8 million; $10.24 million) in the closing of a Series A equity financing. Scandinavian Life Science Venture and SEB Företagsinvest led the round.


SLS Venture, a Scandinavian-based venture capital company, is the result of the merger of the life science team from The Sixth Swedish National Pension Fund, Medicon Valley Capital and Innoventus. The fund is one of the largest investment funds in Scandinavia in the life science sector with €250 million under management.


3i, Montagu lead $15m Searchspace round


Searchspace, a leading supplier of integrated risk monitoring solutions to the global financial services market, today announced the raising of $15 million (£8.12 million; €11.8 million). The funding round was led by 3i and included Montagu Private Equity, formerly known as HSBC Private Equity.


Founded in 1993, Searchspace supplies integrated risk monitoring solutions to many of the world's leading banks against fraud and money laundering. Customers include Barclays, The Bank of New York, Royal Bank of Scotland, UBS, Wells Fargo and the London Stock Exchange.


In April 2001, Searchspace received a £9 million (€13.8 million; $16.6 million) investment, comprising £5 million from HSBC Private Equity and £4 million Friends Ivory & Sime Private Equity.


Transatlantic funding for Pertinence Data


Pertinence Data Intelligence, a French software company which specialises in developing data analysis solutions to optimise industrial processes, has raised second round of funding of €3.4 million from its existing shareholders.


Partech International, a French venture capital firm that invests in the USA and Europe, and Advent Venture Partners, have both committed to the second round, following an initial investment of €5 million in July 2002, taking their total investment in the company to €8.4 million.


Soffinova backs wireless start-up


Sofinnova Partners has concluded the first round of fundraising for InfraWorlds, a wireless gaming company. The first round of seed capital, totaling €1.35 million ($1.72 million), will enable the startup to consolidate its technological lead in this market. Jean Schmitt, a partner at Sofinnova, has joined InfraWorlds’ supervisory board.


Siemens spin-off lands €4.4m second round


EnOcean, the radio technology company spun out of Siemens in 2001, has landed €4.4 million in financing from a consortium of new and existing investors. In addition to the company’s existing investors comprising Wellington Partners, Siemens Venture Capital, enjoyventure Management and BayTech Venture, 3i has invested as a new co-lead investor.


Elliptic lands €8.5m backing from Apax, IVC


Elliptec, a developer of mini motors for a variety of applications, has secured €8.5 million ($10.8 million) to finance the company to market. The financing is being provided by Apax Partners and existing investor Intelligent Venture Capital.


Elliptec, headquartered in Dortmund, Germany, is a Siemens spin-off that develops cutting edge, fully software-controlled, piezo ceramic-based mini motors. Elliptec will use the capital to build up sales and marketing operations and expand manufacturing. In addition, funds will be committed to the further development of the piezo motor.