Lion Capital Advisers, an independent corporate finance and investment management company, has launched Lion Capital Partners 2, a $100m fund that will invest in early-stage companies with a bias towards medical devices and technologies.
In addition to its medical focus, the fund, officially launched next week, will also seek out opportunities in software, leisure and property. The minimum subscription for the fund, which will be listed on the Bermuda Stock Exchange, will be $250,000.
According to Lion director Paul Loach, around 70 per cent of the fund will be invested in UK opportunities, with the remainder set aside for European opportunities. The average investment size will be between $5m and $10m. “We plan to target companies that have gone beyond the first stage of investment, but that are still early on in the process.”
Loach said he was bullish about the firm’s fundraising opportunities, having secured a $10m anchor commitment from a US investor, with a further $10m commitment expected from a UK group in the near future. “The huge downturn in the equity markets provides us with tremendous buying opportunities in our part of the private equity market. We are looking to close at the end of July 2003.”
Loach added that he expected the fund to be fully invested within nine months. “Whilst this may look to be an ambitious target we are confident this is very achievable.”
Set up in 2001, Lion Capital Advisers has made sixteen investments to date, investing $6m of their own balance sheet and raised in excess of $50m from experienced investors.
Since 2001, the firm has made investments in a broad range of sectors, including industrial technology, medical devices, healthcare and media technology.