Pension asset manager MN has invested €210m, on behalf of three pension fund clients, in two new venture capital funds of Dutch investor Forbion, which specialises in late-stage European life sciences companies.

Metal industry schemes PMT and PME each invested €100m in the two funds, while textile industry fund MITT has committed €10m.

The Forbion Growth Opportunities III and Forbion Ventures VII funds focus, respectively, on high-growth companies mainly from Europe that are developing breakthrough therapies for urgent medical needs, and pharmaceutical companies in the early stages of development.

The funds aim to take “leading positions” in companies with investment sizes of up to €70m per deal. The team’s goal is to build a portfolio of 15 such investments in the most promising late-stage European life sciences companies. Forbion manages a total of €5bn of investments in the biotech sector.

Investments in young biotechnology companies also contribute to “social progress”, according to MN. “Innovations in healthcare, for example, can improve patients’ lives and increase the affordability of care.”

Brian Frieser, principal portfolio manager at MN, said: “Our pension fund clients always strive for the best possible risk-return ratio for their members. Investing in biotech fits this goal perfectly and at the same time provides a positive social impact. In this way, we kill two birds with one stone.”

The investments by PMT and PME fit with their strategy to increase investments in venture capital. Last year, the two funds announced an additional €150m investment in a venture capital fund focused on tech startups.

PME and PMT were also involved in the two earlier Innovation Industries Funds that were launched in 2015 and 2019. These funds have invested in some 25 firms that employ approximately 900 people.

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