Announcing Fund V

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Today is an important day in the history of Foresite Capital, the firm I founded in 2011: we announced our largest fundraise to date, $969 million in Fund V and its accompanying Opportunity Fund. We hit our hard cap and were oversubscribed.

I’m immensely proud of what our team of more than 70 employees across Foresite Capital and Foresite Labs has accomplished over the past 10 years, and I’m particularly proud of the following milestones:

  • May 2011: First institutional investment
  • January 2013: closed Fund I with $100M
  • November 2013: First IPO from a crossover investment (Karyopharm)
  • April 2014: closed Fund II with $300M
  • October 2014: First acquisition of a crossover investment (WaveTec Vision Systems)
  • July 2015: closed Fund III with $450M
  • March 2018: closed Fund IV with $668M

The environment for closing a fundraise of this size was a challenge, to say the least. Amidst a global pandemic which upended our way of life, and focused a spotlight on the inefficiencies and inadequacies in our healthcare market, we believe that the fact that we were able to raise nearly a billion dollars is a testament to our unique approach.

COVID-19 has brought healthcare to the front page, while accelerating the shift to virtual care. Given this, we are expanding our investment focus to include healthcare services and delivery, while continuing our efforts in therapeutics (including treatments for COVID-19 and related diseases) and precision medicine. We see a future where healthcare is data-driven, individualized and evaluated/priced based on outcomes. We believe that this is where the world is heading, and we had the “foresite” to structure a firm uniquely suited to leverage these opportunities back in 2011.

We remain committed to investing at any financing stage, and can support our entrepreneurs as they mature and grow. This multi-stage (from incubation to IPO and beyond), multi-sector (therapeutics, tools, and healthcare delivery) approach gives us a much wider view of the opportunities and entrepreneurs within healthcare. And, we believe, this makes us ideal partners to entrepreneurs of all kinds – from those with a big idea and a gleam in their eye to those exploring alternate financing vehicles such as SPACs.

This achievement could not have happened without the hard work of some amazingly talented individuals – my teammates. I honor them today for helping drive our firm to this latest milestone. Thank you to the team, to all the entrepreneurs who have trusted us with their businesses, and to the limited partners who have invested in us all these years.

With this new funding, we look forward to continuing to drive transformation in healthcare to ensure a healthier future for all of us.

Jim

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