Frist Cressey Ventures Secures $425 Million in New Fund to Innovate Healthcare Delivery

Frist Cressey Ventures Reaches New Heights with $425 Million Fund IV

Frist Cressey Ventures (FCV) recently celebrated a significant milestone by closing its $425 million Fund IV, which has received an overwhelming response from investors. With this achievement, FCV now boasts nearly $1 billion in total assets under management. The firm’s latest fund is not only a testament to its strong reputation within the market but also reflects growing confidence in its unique approach to healthcare investment.

This new capital will allow FCV to bolster its existing platform, enhancing support for founders and expanding its healthcare network. With a keen focus on early-stage healthcare startups that leverage technology to transform care delivery, the firm aims to integrate innovative solutions, including AI-driven business models.

Sen. Bill Frist, MD, Co-Founder and Managing Partner of FCV, expressed his enthusiasm for this achievement, highlighting the shared mission among the firm's team, investors, and portfolio companies to advance innovation in healthcare. He stated, “This milestone reflects the clarity of purpose, conviction, and deep commitment of our team, investors, and portfolio companies.” This mission is aligned with improving patient care and outcomes, emphasizing patient-centered approaches.

FCV has experienced significant momentum, marking its tenth anniversary alongside the closure of Fund IV. With 44 investments and 14 successful exits since its inception, the firm has established itself as a leader in value-based delivery and transformational AI technologies. Historical data shows that both Fund I and Fund II rank in the top 5% among venture capital funds for their respective years.

For founders, partnering with FCV is highly valuable. Robin Shah, CEO of Thyme Care, noted how FCV’s early belief in their model has been crucial for their growth in the specialty care management sector. He elaborated, “The firm has been a close partner and mentor throughout that journey, shaping how we think about scaling patient-centered care.”

Moreover, Justin Norden, CEO of Qualified Health, highlighted the unique combination of healthcare experience and strategic foresight that FCV brings to the table. The firm’s understanding of the complexities and urgencies facing the healthcare industry enables them to provide targeted support as companies navigate regulatory landscapes effectively.

Collaborations remain central to FCV's strategy, as evidenced by ongoing partnerships with leading healthcare organizations such as The Cigna Group Ventures, MedStar Health, and OhioHealth. These partnerships not only provide critical health services to a substantial portion of the U.S. population but also maximize investment confidence across FCV's portfolio. A remarkable 25% of FCV's portfolio firms have a strategic partner in their investor base, which speaks volumes about the alignment between FCV’s mission and its LPs.

Craig Cimini from The Cigna Group Ventures emphasized the power of collaboration in creating a more integrated healthcare experience, reinforcing FCV’s commitment to improving health outcomes and affordability. Bill Sheahan from MedStar Health also acknowledged how FCV helps in identifying and investing in meaningful innovations that tackle some of the most complex challenges in healthcare today.

As part of its ongoing commitment to fostering innovation, FCV has announced its fifth class of the FCV Collective—a dedicated network of 16 healthcare executives focused on driving systemic change. This collective will convene throughout the year to address industry challenges, share insights, and leverage policy engagements to shape healthcare priorities.

In sum, the closing of Fund IV marks a new chapter for Frist Cressey Ventures, as it aims to deepen collaborations and continue supporting companies that prioritize patient-centered care. With a keen eye on the latest advancements in healthcare delivery, this fund is set to play a pivotal role in improving millions of lives throughout the country.

For more information about Frist Cressey Ventures and its mission to transform healthcare, visit www.fcventures.com.