NEWS
< Back to the list of news
Creation of a New Biotechnology Venture Capital Fund
FIER Partners Invests $10 Million in the AgeChem Fund
Montréal, June 15, 2006 -
The Managing Director of FIER Partners, L.P., Sylvie Pinsonnault, and the Chairman of the Board, Jean Cyr, have announced a new investment by FIER Partners in a $65.65-million biotechnology sector fund.
“The $10-million investment in the new AgeChem fund is in addition to an initial $55.65 million that has been raised to support the growth of biotechnology companies specializing in developing compounds for the treatment of diseases related to the aging of the population,” Ms. Pinsonnault said.
“We are very pleased with the support and confidence shown by FIER Partners and the other initial investors,” declared Louis Lacasse, spokesperson and promoter of the AgeChem fund. “This fund represents a new source of financing for companies seeking capital at various financing and product cycle stages, particularly companies that operate in the field of illnesses relating to aging, such as osteoporosis, diabetes, cancer, arthritis, cardiovascular diseases and glaucoma.”
“With this new investment, FIER Partners is contributing actively to the development of the niche of excellence of biotechnology companies that will receive support from the AgeChem fund, whose capitalization is provided in particular by private investors in a ratio that satisfies the commitment of FIER Partners to invest one dollar for every two dollars invested by the private sector,” the Chairman of the Board of FIER Partners, Jean Cyr, mentioned.
FIER Partners has invested $10 million in the AgeChem limited partnership, while various private investors have provided $55.65 million, including in particular Fondaction CSN, the Fonds de solidarité FTQ, the Caisse de dépôt et placement du Québec and the promoters.
“FIER Partners is very satisfied to have contributed to the constitution of this new sector fund that will enable companies operating in the very promising sector of biotechnology to receive the strategic financial support that is indispensable for them to succeed,” Ms. Pinsonnault added, noting that in the near future, the capitalization of AgeChem could rise with the objective of reaching $100 million.
FIER Partners is one of three components of the Regional Economic Intervention Fund (FIER) set up by the Québec government. It consists of a limited partnership whose initial capitalization of $180 million is provided by IQ FIER, a subsidiary of Investissement Québec, for an amount of $90 million, and by three tax advantaged funds: the Fonds de solidarité FTQ ($50 million), Desjardins Capital régional et coopératif ($25 million) and Fondaction, the Fonds de développement de la CSN pour la coopération et l'emploi ($15 million).
FIER Partners has $80 million available to support the creation of sector development funds that will make investments, consisting of equity or quasi-equity, in start-up companies. The limited partnership contributes one dollar for every two dollars from private investors, so that the total capitalization of the sector funds could ultimately reach $240 million. FIER Partners also has an envelope of $100 million to support developmental projects, mainly in the regions. For more information, visit www.fierpartenaires.com.
- 30 -
Information :
FIER Partners, L.P.
Jean-Pierre Bernier
514 873-7244
< Back to the list of news