Athyrium Capital Management and Neuberger Berman announced Monday the closing of Athyrium Opportunities Fund II at $1.22 billion, hitting its hard cap and surpassing its $850 million fundraising target.
Neuberger Berman’s alternatives arm is a subadviser to the fund.
The fund seeks to make “$25 million to $150 million (structured capital) investments in commercial-stage health-care companies in North America, Europe, Asia and Australia” and invests “across all health-care verticals including biopharma, medical devices, diagnostics, health-care services and health-care information technology,” said a joint news release from Athyrium and Neuberger Berman.
The fund, which is targeting about 20 investments total, has already made six investments representing more than 30% of committed capital, added Jeffrey A. Ferrell, founder and managing partner at Athyrium, in a telephone interview.
The fund has invested in companies including Apollo Endosurgery; biotechnology companies Zealand Pharma and Valneva; and specialty pharmaceutical companies Indivior and Cipher Pharmaceuticals.
Investors in Athyrium Opportunities Fund II include the University of Michigan, Ann Arbor, on behalf of its $10.1 billion endowment; $14.8 billion New Mexico Public Employees Retirement Association, Santa Fe; $2.1 billion Denver Employees Retirement Plan; and $2.8 billion Nashville (Tenn.) & Davidson County Metropolitan Government Employee Benefit Trust Fund.
Predecessor fund Athyrium Opportunities Fund closed at $500 million in May 2013.
University of Michigan was also an investor in Athyrium Opportunities Fund.