Medicxi announces the close of Medicxi Growth 1 (MG1), a new $300 million fund that will focus on growth stage companies in European life sciences.
With this new late stage fund, Medicxi will help fill a clear gap in Europe, where talented life sciences entrepreneurs do not have access to as much local financial support as their US-based counterparts to expand exciting opportunities into more mature companies.
Cornerstone strategic investors backing this vision in the MG1 fund, are Novartis, Verily and the European Investment Fund (EIF). The fund also includes most of the institutional LPs that previously backed Medicxi’s first fund, as well as several new investors. With Novartis’ investment in MG1, Medicxi now has strategic partnerships with three of the world’s largest pharmaceutical companies.
MG1 will be supported by a Scientific Advisory Board (SAB), which will benefit from the sector expertise of the senior executives of Novartis and Verily.
MG1 is a continuation of Medicxi’s pioneering ‘asset-centric’ investment strategy and will be looking to invest in private or public companies with at least one asset in Phase II or beyond that Medicxi believes can become a licenced pharmaceutical product, meeting unmet medical needs. The backers share Medicxi’s belief that, whilst the European life sciences sector is recognised for its innovation, it has been held back by the lack of growth capital.
Giuseppe Zocco, co-founder of Index Ventures and co-leader of the firm’s first growth fund in 2007, will be the Medicxi Partner responsible for a dedicated growth team. This team will be fully integrated with the established Medicxi team.
Francesco De Rubertis, co-founder and Partner at Medicxi, said: „The backing by Novartis and Verily is extremely exciting for us. We look forward to inspiring and insightful sessions of the Scientific Advisory Board. We believe these meetings will greatly benefit our portfolio companies.“
Andrew Conrad, CEO of Verily, said: “We are excited to partner with Medicxi, Novartis and EIF to help European life sciences innovators accelerate patient and physician access to new and promising therapeutics.”
Pier Luigi Gilibert, Chief Executive of the European Investment Fund, said: “The combination of Novartis, Verily and Medicxi will have a positive impact on the future of the life sciences sector in Europe. Since it was spun out of Index Ventures, Medicxi has continued to be a leader in the life sciences investment community, and this new fund offers us the opportunity to support companies with growth potential that for too long have had to look elsewhere.”
Giuseppe Zocco, co-founder and Partner at Medicxi, said: “This late-stage growth fund will support ambitious European entrepreneurs who are willing and able to build innovative companies through advanced clinical development and market entry, rather than pursuing a premature and generally suboptimal early exit through partnering or M&A.“
Since 2016, Medicxi has raised in excess of $500 million of new capital to invest across early and late stage companies through MV1 and MG1.
Medicxi is based in London, Geneva and Jersey. The Company’s mission is to invest across the full healthcare continuum. Medicxi was established by the former Index Ventures life sciences team. Medicxi manages the legacy life science portfolio of Index Ventures as well as the new funds launched as Medicxi, Medicxi Ventures 1 (MV1) and Medicxi Growth 1 (MG1) focusing on early-stage and late-stage investments in life sciences.
GSK, Johnson & Johnson and Novartis, three of the world’s largest pharmaceutical companies back Medicxi along with Verily, an Alphabet company. These companies, whilst participating in the SABs of the funds, do not receive any preferential rights to the portfolio companies.
Medicxi’s team has been investing in life sciences for over 20 years and has backed many successful companies, including Genmab (Nasdaq Copenhagen: GEN), PanGenetics (sold to AbbVie), Molecular Partners (SWX: MOLN), XO1 (sold to Janssen) Egalet (Nasdaq: EGLT), Minerva Neurosciences (Nasdaq: NERV) and Versartis (NASDAQ: VSAR).
The European Investment Fund (EIF) is part of the European Investment Bank Group. Its central mission is to support Europe’s micro, small and medium-sized businesses (SMEs) by helping them to access finance. EIF designs and develops venture and growth capital, guarantees and microfinance instruments which specifically target this market segment. In this role, EIF fosters EU objectives in support of innovation, research and development, entrepreneurship, growth, and employment.