Over the past 15 years, more than 11% of the 431 private equity deals completed by Bain Capital have been in the healthcare sector, according to the PitchBook Platform. Now, the Boston-based firm has reportedly raised $720 million for Bain Capital Life Sciences, its first vehicle devoted exclusively to the space.
About $600 million of that capital will come from outside the fund, while Bain Capital executives will contribute the remainder, per The Boston Globe. The firm will reportedly use the vehicle to make investments of between $20 million and $70 million in companies related to medical devices, pharmaceuticals, biotech or other offshoots of the life sciences sector. Bain Capital will also deploy the fund in tandem with its other buyout vehicles to participate in larger LBOs, per Reuters.
Overall, Bain Capital’s investment activity in the healthcare space is trending up and to the right, per PitchBook data. The firm completed eight PE deals in the sector in both 2014 and 2015, with those two years tying for a decade high. Last year dipped back down to just two completed deals, however—a decline the new vehicle will likely be used to help reverse.
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Article by PitchBook