Pictet Alternative Advisors, private bank Pictet’s wholly-owned alternative investment business, has launched its second thematic private equity strategy, exclusively focused on health investments.
Its first thematic fund, dedicated to technology investments, closed last September after having raised US$350 million.
According to Pictet, this new healthcare-focused fund aims to invest in best-in-class biotech and healthcare-focused VC, Growth, and PE funds globally and will dedicate a substantial allocation to co-investments within its covered segments of high conviction.
Yann Mauron, investment manager of the fund, calls healthcare a major priority for society as a whole. “We are at an inflection point for medical breakthroughs: investment is growing, regulation is becoming more supportive, and technology is able to offer more potential solutions,” he says.
“As illustrated by the recent vaccine successes, it’s a fertile time for healthcare. What could have taken scientists 10 years to complete was accomplished in less than one,” adds Mauron.
The fund will focus on five segments: therapeutics, diagnostics, digital health, medical technology, and health care and services providers.
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Pierre Stadler, head of thematic private equity, adds that from a private equity standpoint, the five areas provide opportunities across the full spectrum of company maturities.
“Deal flow in therapeutics, digital health and diagnostics is particularly strong in early and growth stages. Medtech and care providers, meanwhile, tend to be more attractive at buyout stage.”
“PAA’s expertise in building diversified portfolios, which include investments in health companies of all stages (from seed to late-stage VC, Growth Equity or LBO) will enable PAA to build its Health strategy with a mitigated risk approach,” says Stadler.
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Since the debut almost 30 years ago, Pictet has committed to more than 150 private equity funds and participated in 155 co-investments of which 90 were realised, and made 2.7 times on invested capital.
Photo: Bloomberg
