What You Should Know
- The Raise: Frist Cressey Ventures (FCV) has closed an oversubscribed $425M Fund IV, bringing its total assets under management to nearly $1 billion.
- The Strategy: The new fund will focus on early-stage healthcare companies transforming care delivery, with a specific emphasis on AI-native business models and tech-enabled services.
- The “Moat”: FCV’s strategic Limited Partners (LPs)—including The Cigna Group, MedStar Health, and OhioHealth—provide healthcare to over 50% of the U.S. population, giving portfolio companies a massive advantage in distribution and pilots.
Strategic Advantage
FCV has built a syndicate of strategic partners—including The Cigna Group Ventures, MedStar Health, and OhioHealth—that collectively touch more than 50% of the U.S. population.
For a startup founder, this is the difference between a check and a customer.
- 25% of FCV’s portfolio companies have secured investment from at least one of these strategic partners.
- The Cigna Group explicitly noted that the collaboration helps them “advance solutions that drive better health outcomes.”
FCV made its name investing in value-based care models (like Thyme Care). Fund IV will continue that work but is aggressively expanding into “AI-native business models.”
FCV Successful Track Record
The firm is entering its second decade with a scorecard that validates its “policy-plus-capital” approach.
- Performance: Fund I and Fund II rank in the top 5% of all venture capital funds for their respective vintages.
- Exits: The firm has notched 14 successful exits out of 44 total investments.
“This milestone reflects the clarity of purpose, conviction, and deep commitment of our team, investors, and portfolio companies, all united by a shared mission to advance innovation in healthcare that improves lives and keeps patients at the center of everything we do,” said Sen. Bill Frist, MD, Co-Founder and Managing Partner, Frist Cressey Ventures. “As we enter this next chapter, we’re excited to build strong, transformative, and enduring partnerships – and to serve as a trusted partner to the leaders and companies shaping the future of patient-centered care.”
