Dramatic growth in digital health during 2020 fuels vision for future investment success
Nashville, TN, December 3, 2020 — Jumpstart Capital, a digital health venture capital and private equity company in Nashville, has announced it has sold its stake in Casetabs, a leading provider of innovative, cloud-based software for ambulatory surgery centers (ASCs), after the successful merger of HST Pathways and Casetabs.
Jumpstart first invested in the company in June 2019, foreseeing the growth of outpatient procedures and ASCs. Within 18 months, the team took the investment from Series A to its exit, with a gross internal rate of return of more than 100% on the exit of its equity position.
The rapid growth and return are a testament to the supportive depth and breadth of Nashville’s healthcare venture capital community. “Dave Vreeland and I were introduced in Nashville by a mutual friend in the industry a couple of years ago. Our company needed both capital and guidance and with Jumpstart Capital’s decision to lead our A round, we got both. I think of Dave and Jumpstart as not only a great VC firm but good people. Excited to see what they do with their new firm, Caduceus,” said Gavin Fabian, chief executive officer at Casetabs.
In October, the core Jumpstart Capital team announced the creation of its newly formed venture capital and private equity group Caduceus Capital Partners. The same team of digital health experts who created their debut fund, JSC Growth Fund I, will be raising a $100MM early-stage digital health fund under this new brand.
“This transaction accurately reflects our ability to anticipate growth in health tech investments and shows our commitment to the opportunity that digital health represents in our economy at this difficult time,” said Dave Vreeland, managing director at Jumpstart Capital, now senior managing partner at Caduceus. “We are pleased that Caduceus’s support helped Casetabs become a successful SaaS platform for ASCs, and we will continue to identify and invest in emerging digital health solutions.”
“It’s no surprise that lowering costs is a driving force in U.S. healthcare and ASC procedure costs are 60% or less than what the same procedure would cost in a large hospital,” said Scott Kolesar, venture partner at Jumpstart Capital and managing partner at Caduceus. “Over the next five years, we expect that outpatient surgical procedures will increase by 45% with billions of dollars being saved fueling tremendous growth in both ASCs and the demand for innovative digital ASC solutions like Casetabs.”
About Jumpstart Capital
Jumpstart Capital is a unique and creative platform focused on identifying, funding, and supporting high growth, “big idea” innovative healthcare companies across the United States. Combined with our other business units: Jumpstart Foundry and Health:Further; we offer a powerful platform for venture investors looking for an unfair advantage in healthcare venture capital. For more information, visit: https://www.jscap.co
About Caduceus Capital Partners
Caduceus Capital Partners is an early-stage digital health venture capital and private equity company focused on digital health investments. The innovative investment model actively supports portfolio companies from the first check to the exit phase with operational expertise and network access to potential customers and partners. For more information and investment interest, visit: https://caduceus.vc/
More than 100 million surgeries are coordinated in the U.S. every year with fragmented chains of emails, text messages, phone calls, and faxes. Casetabs uses an intuitive central coordination hub, which delivers real-time case information and updates to facility staff, physician office staff, physicians, anesthesiologists, and vendor reps. Casetabs is based in Irvine, CA. For more information, visit: www.casetabs.com