3i, the UK-listed private equity firm, has agreed the €300m ($370m) buy-out of betapharm Arzneimittel, a German drugs company, and has made it through to the final round of bidding for Keolis, a French transport company worth up to €500m.

The two deals are expected to be among the largest that 3i completes this year. Most of its investments are in companies valued at less than €100m. Equity analysts, which include Huw van Steenis of Morgan Stanley, have encouraged 3i to increase its deal size.