LCF launches BioDiscovery II

The French venture capital investor is hoping to raise E120m for its second life sciences fund for European investments.

French investment group LCF Rothschild Asset Management is looking to raise its second venture capital fund investing in the increasingly favoured European life sciences sector.


The group is launching BioDiscovery II, which will raise up to E120m for investments in the European life sciences sector, investing across all stages. The fund is the successor to BioDiscovery I, LCF Rothschild Asset Management’s first life sciences fund, which raised E40m in 2000. 


Investors in the first fund included Fond de Promotion pour le Capital Risque (FPCR), a public-sector venture capital fund which contributed E5m, LCF Rothschild and research organisation Institut Pasteur, the fund’s largest shareholders.


Life sciences is one of the few sectors to have remained active in what has been an otherwise flat period for fundraising. Last month, Pfaffikon-based Brilleon Capital AG announced plans to raise a E150m multi-stage biotech fund. In September, Merlin Biosciences held a successful first closing of its E250m third fund that will invest in biotechnology companies across Europe whilst Munich-based Global Life Science Ventures held a final closing of its second fund at E143m.


This is the second venture capital fundraising to be launched by LCF Rothschild in the past two months. In September, the firm unveiled its first  semi-captive private equity fund to invest in French leveraged buyout opportunities. The firm is contributing up to E30m to this fund, a E200m vehicle, with the remainder to be raised from third party investors. The firm recruited Erick Fouque and Eric de Montgolfier, who joined the firm in March this year from French LBO firm Astorg Partners, to head the fundraising and investment process.