NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Tuesday, September 17, 2013

As part of its mandate to support Canadian entrepreneurs, BDC Venture Capital announced today it has allocated $135 million in new capital to direct venture investments in innovative healthcare companies. That brings its total direct commitment to the sector to $270 million. Recognizing a massive and growing market opportunity, the BDC Venture Capital Healthcare Fund will broaden its investment strategy and invest in technology, products and services that aim to dramatically improve global healthcare productivity, efficiency and patient outcomes.

“Great investors typically look for industries that are undergoing massive disruption, and this is certainly true of the healthcare sector. We have never seen a better time to invest in the sector,” said Dion Madsen, Senior Managing Partner of the BDC Venture Capital Healthcare Fund. “All economies are struggling to maintain affordable and accessible healthcare systems. They are seeking new technologies to improve their health systems and improve healthcare delivery, while managing rising costs. With the widespread availability of wireless and mobile technologies, innovative molecular diagnostics and imaging technology, high-throughput genomic sequencing, and innovations in healthcare IT, the opportunity exists to radically transform healthcare delivery across the planet.”

The new funds will be used to invest in Canadian-based companies in fields such as innovative therapeutics and medical technology, diagnostics, health IT, mobile technologies and services, as well as robotics and automation. The fund will partner with Canadian and global investors, along with new players entering the healthcare industry—such as retailers, mobile computing and software firms, and insurers—to accelerate growth and market penetration for portfolio companies.