Navigating the healthcare system is like following a map with no landmarks.
Sure, there’s a giant investment opportunity that comes with that rare chance to make a difference in the world, but if you’re going to step in, you’d better know the way. You need the kind of insider perspective that knows it when it sees it, has the understanding to create a clear, meaningful story around the opportunities, and gives you seasoned insight to avoid naive risks.
Digital health investing is not for the faint of heart; it requires a navigator, an experienced hand to identify the opportunities for substantial improvements, the companies best positioned to take advantage of them, and the right deal to ensure success upon exit.
Early-Stage Digital Health
Caduceus Capital Partners believes the next decade will be the “golden age” of digital health, and we are poised to take full advantage of this on behalf of our investors and entrepreneurs.
The U.S. healthcare system is a $4T industry, yet automation was just introduced in the last decade. Because of this, healthcare has been much slower to innovate compared to other industries.
Then came COVID-19.
The COVID-19 crisis has accelerated digital health by a decade.
The trends driving healthcare toward the broad-based adoption of digital technologies (a macroeconomic imperative, out-of-control costs, widespread dissatisfaction with the system, poor outcomes, and technology adoption in every other industry) have been driving change for the past decade. And then 2020 happened!
The pandemic has been a huge catalyst for the adoption of technologies such as remote patient monitoring, telehealth, automated prescription delivery, and automated hand hygiene compliance. But, this is just the beginning.
The new COVID-19 normal is here to stay, and many of the changes brought about by this new normal will not go away when therapeutics and vaccines finally eliminate the problem.
Caduceus Capital Partners believes that the next decade will be the “golden age” of digital health, and we are poised to take full advantage of this on behalf of our investors and entrepreneurs.
Caduceus isn’t just an investment opportunity.
It’s a movement of people who believe that early-stage digital health companies can make a significant impact on healthcare by expanding access, improving patient outcomes, reducing costs, and enhancing the daily working lives of our care providers. And, we’re willing to put our money where our mouth is.
We’re making it easy to be a part of the solution…
Here’s what you can expect from the Caduceus Capital Partners Early-Stage Digital Health Fund I.
Look in the cockpit. Our team is proven. We’re entrepreneurs who have led successful healthcare organizations and successful digital health investments multiple times, across a wide range of disciplines and industry sectors. And, our Syndicate group of venture partners magnifies our collective industry expertise, network access, and management advisory capabilities exponentially.
We know how to lead successful venture capital funds because we’ve done it before. Our debut fund at Jumpstart Capital has deployed $14MM across 11 portfolio companies over 36 months.
And, the results speak for themselves.
- 2 exits
- 6 uprounds
- 1.4X total value paid in
- 2 mergers
- 18.64% portfolio IRR
We’re natural born fixers who have the industry experience and access to resources to guide and grow our portfolio companies. We support each portfolio company like true partners – we’re available 24/7 to ideate, advise, make market introductions, create strategic connections, and provide hands-on support throughout all phases of company growth, from the first check to exit.
All portfolio companies receive operational expertise, healthcare sales cycle guidance and insight on product/market fit, as well as vast network access to potential customers and partners. Moreover, we reserve up to 50% of our committed capital to provide additional funding for the best performing companies and lead their growth and exit strategies.
Our reputation and relationships bring us opportunities to invest in the best. We consider early-stage digital health companies with capable management teams, responsible valuations, $1 MM+ ARR, and a real-world potential to succeed.
Through a rigorous selection process, we effectively evaluate over 900 companies to source the right candidates for investment. This deal flow process is continuous, drawing from a steady stream of opportunities that get put through initial prospect screening, deep dives into candidate companies, and final due diligence prior to investment. We also conduct a bi-annual digital health summit where we invite 25-30 companies to showcase their solution and business case to our team in person.
Digital Health Portfolio
Caduceus Capital Partners invests in early-stage digital health companies poised to make a difference in shaping the way healthcare is accessed, delivered, and paid for across the country.
An Awesome Crew
We’ve assembled a remarkable group of people who care about our world, are determined to succeed, and bring the kind of energy that fosters generative change.
Our team is led by Dave Vreeland, Senior Managing Partner, Scott Kolesar, Managing Partner, and Chris Ryan, Partner, Investor Relations. Additionally, we have a group of 12 senior healthcare executives who serve as a collective fourth partner, known as the Syndicate. Our venture partners are actively involved in all aspects of the digital health investing process, providing their time and talents to create and scale a virtuous cycle of success. They offer counsel to catalyze innovative ideas, bright entrepreneurs, and competitive early-stage companies.