Sofinnova Partners surpasses target with €650m fund to back up early-stage biotech

Sofinnova Partners‘ new Capital XI fund was significantly oversubscribed, closing at €650m, well above its €500m target and €600m cap. This “will allow the team to lead more rounds and remain long-term partners through the full evolution of each company,” commented Antoine Papiernik, Managing Partner and Chairman of Sofinnova Partners, “With the [total capital of] €1.5bn raised [over the past year], we’re aiming to back 50 to 60 companies, of which 15 to 18 will be funded by the Capital strategy,” he added.

The Capital XI Fund is backed by a global group of leading institutional investors, including sovereign wealth funds, insurers, pension funds, corporates, and family offices across Europe, North America, Asia, and the Middle East. “Most [80%] are returning investors from prior Sofinnova funds, joined by several new top-tier institutions who view Sofinnova as a strategic entry point into European life sciences,” Papiernik told European Biotechnology.

Growing cheque size

Sofinnova’s earlier Capital funds allocated roughly two-thirds of their capital to European biotechs and about one-third to North American companies. Capital VI (2008) closed at €260m, Capital VII (2012) at €240m, Capital VIII (2015) at €300m, Capital IX (2018) at €333m, and Capital X (2021) at €472m. Like these funds, Capital XI will focus on seed and Series A rounds with “maybe a bit more than median cheque sizes of ~€25m”. According to Papiernick, “Fund XI at this level makes it possible for us to remain larger investors of the companies for longer”.

Expanding the portfolio beyond biotechnology

“The team sees major opportunity in the convergence of biology, data, and engineering, particularly in next-generation therapeutics, precision immunology, and novel delivery technologies,” he added. “The broader trend toward platform science and translational depth continues to guide Sofinnova’s early-stage focus and hands-on approach.”

Notable portfolio companies in former funds included Ablynx, Ascendis Pharma, Hookipa Pharma, Pixium Vision, ProQR Therapeutics, and the medtech firm CoreValve, acquired by Medtronic in 2009. According to Papiernik, “Sofinnova’s long-term track record remains one of the strongest in European life sciences, with more than 20 successful exits over the past decade and over 30 approved products reaching patients, including Shockwave (coronary lithotripsy), Calliditas (rare kidney disease), and Pi-Cardia (aortic stenosis). These results reflect the consistency of Sofinnova’s strategy.”

Early investments from Capital XI

Five investments have already been made by Capital XI:
– Actithera (Norway) – next-generation radiotherapeutics
– Elevara (UK) – novel therapies for rheumatoid arthritis
– Galvanize (US) – pulsed electric field technology to treat solid tumours
– Haya Therapeutics SA (Switzerland) – RNA-based platform to reprogram cardiometabolic cells
– NanoPhoria srl (Italy) – inhalable nanoparticles delivering medicines from the lungs to the heart

According to Papiernik, the fund has also completed one seed investment, consistent with its strategy of engaging early with transformational science and often leading subsequent rounds to maintain influence and continuity.

Funding across the life cycle

According to Papiernik, Sofinnova clearly differentiates itself from other VC specialists in investing early, leading rounds, and working hands-on with founders through key clinical and regulatory milestones. Its multi-fund platform spans the full lifecycle of innovation, from company creation and acceleration to growth and crossover investing, with dedicated strategies in industrial biotech, digital medicine, medtech, and biopharma.

“This integrated structure allows the firm to match the right expertise and capital to each stage. In addition, Sofinnova leverages its 50 years of experience and proprietary AI-driven discovery engine, Sofinnova.ai – it’s our secret weapon for sourcing new deals and for due diligence,” he stated.