€10m venture capital fund aims to boost medical technology sector

VENTURE capital firm Kernel Capital has launched a €10 million fund which, it said, is Ireland’s first to focus exclusively on the indigenous medical technology sector.

The Bank of Ireland MedTech Accelerator Fund will provide investments ranging from €100,000 to €500,000 and is focussed on export orientated high potential start-up life sciences companies that operate in the medical device, diagnostics or medical sectors.

Cork-based Kernal also said that NUI Galway is to become an investor with the firm. Also supporting this initiative is the University of Limerick, Bank of Ireland and Enterprise Ireland.

West region director with Enterprise Ireland, Seamus Bree, said: “Enterprise Ireland sees the medical devices and related areas as offering very strong potential for innovative, export focussed start up companies.

“This new fund is very welcome, marking an important increase in the availability of capital to support the commercialisation of new and innovative products from ambitious Irish companies.”

The medical technology sector employs more than 24,000 people and generated €6.8bn in exports in 2009.

Managing partner with Kernel Capital, Niall Olden, said: “Irish start-up companies are ideally placed to pioneer the next generation of global healthcare devices.”

University of Limerick president, professor Don Barry, said the fund will play a key role in helping start-up and emerging companies to access early stage capital to grow, create jobs and commercialise new innovations.