US-based venture capital firm Health Velocity Capital has raised more than $185m from limited partners including healthcare providers UPMC and Cigna for its first fund, Health Velocity Capital I.
The firms were part of a network of LPs the firm said included strategic investors and executives in the healthcare industry. Cigna participated through corporate venturing subsidiary Cigna Ventures.
Health Velocity Capital is targeting healthcare software and services providers, and its three partners include Saurabh Bhansali, had previously led investments for Humana Health Ventures, health insurance provider Humana’s corporate venturing unit.
The firm has so far invested in telehealth platform developer MDLive, home care provider Contessa Health, outpatient treatment provider Spero Health, infusion centre operator Infusion Express and workforce optimisation software developer OnShift.
Tom Richards, who leads strategy and business development for Cigna, said: “One of the most exciting aspects of Health Velocity is its focus on harnessing innovation and transformative thinking through strategic partnerships – which is complementary with the mission of Cigna Ventures.
“Collaborating with Health Velocity has been, and will continue to be, instrumental in helping us partner with companies that are unlocking new growth possibilities in healthcare and will bring improved quality, affordability and choice to our customers, clients and communities.”
