Back to Blog September 14, 2015 in

MEMBER NEWS: Arboretum Ventures Closes Oversubscribed Fourth Fund at $220 million

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Ann Arbor, MI (September 14, 2015) – Arboretum Ventures, a leading healthcare venture capital firm, today announced the closing of its fourth fund with capital commitments of $220 million, which nearly doubles the firm’s capital under management to $450 million. Arboretum IV is the largest venture capital fund ever raised in Michigan and one of the largest healthcare-focused venture capital funds raised in the Midwest. The fund will be managed by the same core team that has invested the previous Arboretum funds — Managing Directors Jan Garfinkle, Tim Petersen and Paul McCreadie and Chief Financial Officer Marcy Marshall.Arboretum_10_edited“We are pleased that so many of our long-time investors continue to share our vision, namely, that the significant changes occurring in the U.S. healthcare system are creating tremendous entrepreneurial opportunities,” said Tim Petersen. “We are also excited that a set of new investors, including three health systems, have committed capital to the fourth fund.”

“We have had a set of successful exits and IPOs over the past several years,” said Managing Director Jan Garfinkle. “For instance, Esperion Therapeutics [NASDAQ: ESPR] and Inogen [NASDAQ: INGN] have both achieved billion dollar market capitalizations since their IPOs in 2013 and 2104, respectively. With Arboretum IV, we plan to continue to fund and nurture promising young companies that produce excellent clinical results while reducing overall healthcare costs.”

“Arboretum has generated strong returns for us in the past, and thus we are pleased to be an investor in Arboretum IV. We believe the continuity of the team and their focused healthcare investment strategy should lead to continued excellent performance,” said Robert Manilla, Chief Investment Officer of the $3.5 billion Kresge Foundation.

About Arboretum Ventures

Arboretum Ventures, Inc. (“Arboretum”) is a venture capital firm, founded in 2002, that specializes in the healthcare sector. The firm manages $450 million in capital and has invested in more than 30 companies over the past thirteen years, with exited portfolio companies representing an aggregate valuation of greater than $3 billion. Arboretum focuses on medical device, diagnostic, healthcare IT, and healthcare service companies that can achieve significant milestones and value creation in a capital-efficient manner. The firm’s portfolio is diverse in terms of stage and geography, although we have a special interest in opportunities in the Midwest region. Arboretum’s guiding vision is to identify transformative healthcare companies that are developing improved and less costly solutions that address significant healthcare problems.