Healthcare Venture Capital Report - 2019 NEW YORK CIT Y

Page created by Norman Simpson
 
CONTINUE READING
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
NE W YORK CIT Y
Healthcare Venture
  Capital Report
        2019
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
INTRODUCTION
                                                  Welcome to the second annual
                                                  New York City Healthcare
                                                  Venture Capital Report.
                                                  For 2019, we have expanded the scope of our report
                                                  by including insights and expertise from 15 of NYC’s
                                                  leading investors and entrepreneurs, and for the first
                                                  time, have added a ranking of the top 25 funded health
                                                  companies and highlighted NYC’s leading healthcare
                                                  investors to know.

Thanks to all who contributed to this report, and a                 Healthcare is vital to NYC’s economy in many ways
special acknowledgement to our partners at Cooley,                  including as a major employer. Of the largest NYC
who helped gather all of the data for this report, as               employers listed in Crain’s New York 2018 list, 30%
well as our quarterly updates throughout the year.                  come from our health systems (Northwell, NYC Health
                                                                    and Hospitals, Mount Sinai, Montefiore, NYU Langone
2018 was a remarkable year for healthcare investing in              and NewYork-Presbyterian) representing 217,000 jobs.
the United States reaching an all-time high of $30+
billion across multiple sectors (PitchBook-NVCA Venture             As Ellie Wheeler, partner at Greycroft, points out: “There is
Monitor, December 2018). New York was no different and              a vibrant and ever-expanding ecosystem here in New York
experienced impressive growth – we saw $1.85 billion                City, including access to pharmaceutical companies and
invested across 83 healthcare companies. Like the rest              big insurers, not to mention a significant percentage of
of the industry, we saw larger rounds at all stages.                Fortune 500 companies and other big employers that all
                                                                    have increasing incentives to get involved in healthcare.
Importantly, we saw several critical exits. Roche’s                 With major universities here as well, there is a significant
acquisition of Flatiron Health for $2.1 billion last February       amount of talent and it is only getting better.”
was a watershed moment for NYC health start-ups.
Ezra Mehlman, Managing Partner of Health Enterprise                 The New York healthcare market continues to flourish.
Partners, commented: “We may just be hitting the apex               We’re excited to see what the coming year has in store
moment of healthcare venture capital investing: with                for NYC.
fundraising levels and valuations at all-time highs, the
only viable exit for many companies is an IPO or                    In good health,
multi-billion dollar acquisitions.”

While Flatiron garnered the lion’s share of attention, NYC
had other important exits. Syntimmune, founded in 2013
by Dr. Laurence Blumberg, a serial biopharma entrepreneur,
                                                                    Bunny Ellerin
and his brother Dr. Richard Blumberg, was acquired by
                                                                    President
Alexion for $400 million. WebMD (which was acquired by
                                                                    New York City Health Business Leaders
NYC-based IAC) also added two local healthcare properties
to its platform – Vitals and Jobson Healthcare.

                                                                2
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
2018 BY THE NUMBERS

         83                          $1.85B
                         HEALTH
                         COMPANIES                 IN FUNDING
                         RECEIVED                  IN 2018

3%
OTHER
($58M)
                                                        31%
                                                        HEALTH INSURANCE

10%                                                     ($574M)

DATA ANALYTICS

                                                        26%
($177M)
                                      FUNDING BY

13%                              SECTOR                 BIOPHARMA
                                                        ($488M)
PATIENT ENGAGEMENT
($232M)

17%
CONSUMER HEALTH
($320M)

                                                        7%
                                                        SEED/ANGEL

27%
                                                        ($129M)

SERIES A
($508.5M)
                                     FUNDING BY         16%
                                     ROUND
                                                        VENTURE BOUND
                                                        ($289M)

27%
LATE STAGE*
                                                        23%
                                                        SERIES B
($503.5M)                                               ($419M)

* Series C/D/Corporate
                                          3
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
TOP 25 FUNDED NYC
#   Company    Description                                   Sector           $ Raised   Key Investors
                                                                                (MM)

               Health insurance company employing
                                                             Health                      Alphabet, Founders Fund,
1              technology, design, and data to                                 $540
                                                             Insurance                   CapitalG, Verily
               humanize healthcare.

               Direct-to-consumer healthcare
                                                                                         FirstMark Capital, SignalFire,
               company handling everything from              Consumer
2                                                                              $88       Initialized Capital, General
               online diagnosis to convenient                Health
                                                                                         Catalyst
               delivery of medication.

                                                                                         Lux Capital, The Column Group,
               Biotechnology company developing a                                        Polaris Partners, Euclidean
3                                                            BioPharma         $87
               platform to harness the gut-brain axis.                                   Capital, Two Sigma Ventures,
                                                                                         Alexandria Ventures, Bill Gates

               Biotechnology company developing
               disease-modifying gene therapies
4                                                            BioPharma         $75       Orbimed
               for Parkinson’s disease and other
               neurodegenerative disorders.

               Biotechnology company developing
                                                                                         Versant Ventures, Forbion, S.R.
5              a novel drug class targeting                  BioPharma         $54
                                                                                         One, Alexandria Ventures
               RNA-modifying proteins.

               Technology company rebuilding
               the pharmacy industry that enables            Consumer                    Thrive Capital, Brook Capital
6                                                                              $50
               customized outcomes for doctors,              Health                      Partners
               hospitals, insurers, and manufacturers.

               Biotechnology company
               commercializing pharmaceuticals
6                                                            BioPharma         $50       C-Bridge Capital
               for patients in Emerging Markets
               including Asia Pacific.

               Biotechnology company pursuing                                            Versant Ventures, Polaris
8              next-generation immuno-oncology               BioPharma         $48       Partners, LS Polaris Innovation
               research and drug development.                                            Fund

               Medical technology company applying
9              artificial intelligence to improve clinical   Data Analytics    $40       GV, DFJ, Zach Weinberg
               diagnostics.

               Real-world data and analytics
               company using proprietary                                                 IQVIA, EW Healthcare Partners,
9                                                            Data Analytics    $40
               methodology to enable precision                                           Memorial Sloan Kettering
               medicine at scale.

               Healthcare technology company                                             F-Prime, Polaris Partners, Oak
                                                             Patient
9              improving behavioral health delivery                            $40       HC/FT, GV, Deerfield
                                                             Engagement
               for patients, providers, and payers.                                      Management

                                                                                         Novo Holdings A/S, Sofinnova
               Discovery platform revolutionizing
                                                                                         Partners, Lepu Medical,
9              cancer treatment through first-in-class       BioPharma         $40
                                                                                         Alexandria Ventures,
               therapeutics.
                                                                                         Partnership Fund NYC

                                                       4
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
HEALTH COMPANIES IN 2018
#     Company   Description                                Sector           $ Raised   Key Investors
                                                                              (MM)

                AI-powered health application for
                                                           Consumer                    14W, Comcast Ventures,
13              consumer health education and                                $37.5
                                                           Health                      Mangrove Capital Partners
                linkage to primary care.

                Healthcare technology company that
                                                                                       New Enterprise Associates, Flare
                delivers real-world evidence for life
14                                                         Data Analytics   $36.4      Capital Partners, Lakestar, Town
                sciences companies, payers, and
                                                                                       Hall Ventures
                providers.

                Patient payment and engagement                                         Kinnevik, Founders Fund, Thrive
                                                           Patient
15              platform for hospitals, health systems                       $36       Capital, Lakestar, Sound
                                                           Engagement
                and medical groups.                                                    Ventures

                New type of health plan aligning
                                                                                       Bain Capital Ventures, F-Prime,
                employers, employees, and                  Health
16                                                                           $34       Maverick Ventures, Bessemer,
                providers to ahieve cost-effective,        Insurance
                                                                                       Ingleside Investor
                high-quality care.

                Biotechnology company treating
                                                                                       Abbvie Ventures, Alexandria
                neurodegeneration and neuronal
17                                                         BioPharma          $31      Ventures , ARCH, Pfizer
                injuries through development of
                                                                                       Ventures
                novel therapeutics.

                                                                                       Goldman Sachs Investment
                Subscription-based personalized            Consumer                    Partners, Goodwater Capital,
18                                                                           $29
                vitamin packs.                             Health                      Juxtapose, RRE Ventures, Tusk
                                                                                       Ventures

                                                                                       Sequoia, Oak HC/FT, Spring
                Virtual clinic dedicated to women’s        Consumer
19                                                                           $27       Mountain Capital, 14W, Female
                and family health.                         Health
                                                                                       Founders Fund

                Healthcare technology company
                transforming cancer diagnosis,
20                                                         Data Analytics    $25       Breyer Capital
                treatment and prevention through
                cutting-edge AI.

                Episode-based digital care delivery        Patient
21                                                                            $21      Insight Venture Partners
                and remote patient monitoring.             Engagement

                Designing personalized health system
                                                                                       Maverick Ventures, Thrive
                for qualifying Medicaid and Medicare       Patient
22                                                                          $20.8      Capital, Sidewalk Labs, Oxeon,
                beneficiaries living in underserved city   Engagement
                                                                                       Town Hall Ventures
                neighborhoods.

                Behavioral healthcare company in           Behavioral
23                                                                           $20       F-Prime Capital Partners
                psychiatric hospital space.                Health

                Diabetes management platform
                                                           Patient
24              that harnesses the power of mobile                           $17.4     Innova Capital Partners, FJ Labs
                                                           Engagement
                computing and data science.

                Healthcare technology company
                developing and commercializing             Digital
25                                                                            $17      Sanofi Ventures
                software as prescription medical           Therapeutics
                treatments.
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
QA                 &                        WITH NYC’S TOP

                                            MOVERS & SHAKERS

            Todd Pietri | Managing Partner,                                     Aran Ron | Partner, FundRx
            Activate Venture Partners                              The city has developed an ecosystem of individuals
New York has robust technology and healthcare                      who are really interested in early-stage companies.
sectors. What makes New York different is that you                 As a result, New York is attracting a lot of young,
have the life sciences and pharmaceutical corridor,                high-energy, smart people with great ideas who
which is a big plus and difficult to replicate. There              want to start early-stage companies. New York City
are multiple generations of good companies that                    has become the ideal environment and may even
have grown up here.                                                be better than, or at least rival, Silicon Valley.

   Ellie Wheeler                       Q:      What are the benefits of
 Partner, Greycroft
Our firm is in both New
                                            being an investor in NYC?
York and Los Angeles,
and to date, our
healthcare investing has
been led out of the New
York office. It is not just
out of interest of our
investing partners, but                                 Drew Schiff | Managing Partner, Aisling Capital
because New York is                       For life science ventures, NYC provides access to and consultation with not
where we are seeing the                   only an expert but potentially many experts that are only a subway ride away.
companies located and                     From NewYork–Presbyterian, Rockefeller and Memorial Sloan Kettering up
where we are seeing the                   to Montefiore/Einstein back through Columbia and Mt. Sinai and then down
most opportunity.                         to NYU and out to Brooklyn, there are clinicians and researchers that can
                                          provide relevant and important perspective and advice.

                 Ezra Mehlman | General Partner, Health Enterprise Partners
     NYC has many of the essential building blocks for a vibrant healthcare venture system. The presence of: several large
     health systems with well-resourced investment and innovation programs; a deep pool of intellectual talent emerging
     from graduate schools; an accumulation of NYC-based “alumni” from large tech companies who possess dedicated
     healthcare interests; the proliferation of venture accelerators; and of course a general abundance of financial capital
     have created a unique healthcare entrepreneurial environment in New York.

                                                              6
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
Florian Otto | CEO, Cedar
New York is a hot bed for entrepreneurship - there’s an incredible energy
here that I’ve grown to love. The city has so many resources that, when
utilized correctly, can really help put you on a path towards success. We                         Carolyn Magill
believe that the engineering talent in NYC is on par with (or perhaps even                         CEO, Aetion
beginning to surpass) Silicon Valley.
                                                                                              New York City has been
                                                                                              an ideal location for us
                                                                                              due to the volume of
                                                                                              expertise within the
                                                                                              region, across all sectors
                                                                                              of healthcare. Not only is
                                                                                              the talent pool diverse

                                     Q: What are the                                          and full of people who
                                                                                              are passionate about
                                                                                              improving healthcare,

    Zachariah Reitano
 Co-founder and CEO, Ro
                                      benefits of being                                       we’re close to many of
                                                                                              our current (and potential)
                                                                                              partners—from biopharma
 From hospitals to medical
 schools to pharmaceutical
                                      an entrepreneur                                         to payers and providers,
                                                                                              which enables us to build
 companies, New York City is
 home to many of the most
                                          in NYC?                                             collaborative relationships
                                                                                              between them.
 renowned healthcare
 institutions in the world. This
 has enabled Ro to benefit
 from the unparalleled wealth
 of knowledge of international
 thought leaders and to                                         Jean Drouin | CEO, Clarify Health
 garner the enthusiastic                            New York’s strength in a broad range of tech fields—from health
 support of medical experts                         and advertising and finance to digital media and ecommerce—
 in every field through each                        makes it an ideal place for Clarify to plant roots and grow. We’re
 phase of our growth.                               thrilled to be part of the constantly evolving New York City tech
                                                    scene, where we can easily network and exchange learnings with
                                                    other companies in the community.

                      Wendy Goldstein and Yvan-Claude Pierre | Partners, Cooley
 Being home to large pharma companies and many life sciences companies makes it a very active, robust and also
 mature ecosystem, as well as burgeoning market for innovative technologies. In addition, given NYC’s proximity to
 New Jersey which ranks second in cancer treatment drugs in development, the NYC/New Jersey corridor is the
 leading differentiated region in the healthcare/life sciences industry.

                                                        7
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
NYC TOP HEALTHCARE
                                      H E A LT H C A R E S P E C I F I C I N V E S TO R S

Investor                     Sector                                          Notable NYC Investments

                                                                             Intercept Pharmaceuticals, Synergy
Aisling Capital
                                                                             Pharmaceuticals, Loxo Oncology, Bioenvision

Apple Tree Partners                                                          Syntimmune

Casdin Capital                                                               Flatiron Health, Clover Health

                                                                             Cureatr, Quartet, Sermo, Schrodinger,
Deerfield Management
                                                                             Intra-Cellular Therapies

Digitalis                                                                    CareDox, Somatix

FundRx                                                                       Annum Health, EpiBone, Epicured, Wellth

Health Catalyst Capital
                                                                             Risalto Health
Management

Health Enterprise Partners                                                   Vitals

LifeSci Venture Partners                                                     Attune Pharmaceuticals, Rocket Pharma

                                                                             AiCure, Truveris, NY Digital Health Accelerator,
New Leaf Venture Partners
                                                                             Intercept Pharmaceuticals

NewYork-Presbyterian
                                                                             WorkFusion
Ventures

NGN Capital                                                                  Exosome Diagnostics, Vivaldi Biosciences

                                                                             Prevail Therapeutics, Intercept Pharmaceuticals,
OrbiMed                                                                      Adicet Bio, Loxo Oncology, SmartZyme
                                                                             BioPharma

                                                                             Aetion, Centivo, Pager, Quartet, Risalto Health,
Oxeon Partners
                                                                             RubiconMD

                                                                             Magnolia Neurosciences, Petra Pharma,
Pfizer Venture Investments
                                                                             Accelerator Corporation, Lodo Therapeutics

RTW Investments                                                              Roivant Sciences, Rocket Pharma

StartUp Health                                                               CareDox, Cohero Health, Doctor.com, Zeel

Windham Venture Partners                                                     Cureatr, Credsimple, Novocure, Blueprint Health
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
INVESTORS TO KNOW
                                              G E N E R A L I N V E S TO R S

Investor                             Sector                                    Notable NYC Investments

Activate Venture Partners                                                      Cureatr, Healthify, Medidata, Vitals

                                                                               Alma, K Health, Ro, Oscar Health,
BoxGroup
                                                                               FlatIron Health

Collaborative Fund                                                             Zipdrug, Sherpaa

                                                                               BioDigital, Parsley Health, Phosphorous
FirstMark Capital
                                                                               Diagnostics, Ro

                                                                               Cylera, Call9, Maven Health, Flatiron
Great Oaks Venture Capital
                                                                               Health

                                                                               Eden Health, Health Reveal, Thrive
Greycroft
                                                                               Global

                                                                               K Health, Maxwell Health, Oscar, Thrive
Lerer Hippeau Ventures
                                                                               Global, Talkspace

                                                                               Kallyope, Zipdrug, Hometeam, Pager,
Lux Capital
                                                                               SOLS

                                                                               Cureatr, Petra Pharma, Spring Health,
Partnership for New York City
                                                                               Wellth

RRE Ventures                                                                   Care/Of, Nomad Health, Spring Health

                                                                               Capsule, Cedar Health, Cityblock
Thrive Capital
                                                                               Health, Oscar Health

                                              SECTOR LEGEND

                 BioPharma                       Health Technology                  Health Services

                 Medical Devices &
                                                 Diagnostics & Tools
                 Supplies

                                                           9
Healthcare Venture Capital Report - 2019 NEW YORK CIT Y
Q: How has                                                                                     Gil Addo
                                                                                              CEO, RubiconMD
the NYC venture                                                                               The tech ecosystem
                                                                                              in NYC has been
   community                                         Michael Aberman | CEO,
                                                                                              incredibly supportive
                                                                                              of us. The community

   supported                                          Quentis Therapeutics                    has put tremendous
                                                                                              resources behind
                                               The NYC venture community has been
  your growth?                                 very supportive. NY State participated in
                                               our Series A, NYC provided investment to
                                                                                              health tech
                                                                                              innovation. That is
                                                                                              why we moved from
                                               fund our NYC headquarters and
                                                                                              Boston to NYC to
                                               Versant’s NY investment arm – Highline
                                                                                              start this business.
                                               Therapeutics – funded our Series A. Plus
                                                                                              Over the last 5+
                                               our technology is licensed from Cornell!
                                                                                              years, we’ve seen
                                                                                              the community as
                                                                                              both incredibly
                                                                                              collaborative and
                                   Bronwyn Spira | CEO, Force Therapeutics                    helpful in supporting
                                                                                              and promoting us.
                  StartUp Health has been helpful in creating a community of Healthcare
                  thought leaders. The academic community has supported recruiting
                  efforts, especially places like Columbia’s MPH program, Flatiron School
                  and General Assembly.

           Joel Wishkovsky | CEO, Simple Contacts
New York State has kept an open dialogue with us. They have been very pro-innovation.
Through our relationships with the academic community, we get to work with leading            Drew Schiff
experts in the medical field and see the latest tech coming out of the universities.        Managing Partner,
                                                                                             Aisling Capital
                                                                                            Recruiting early-stage
                                                                                            researchers, drug
                                                                                            developers and life
                                                                                            science innovators
                                                                                            to a city with high

       Ezra Mehlman
    General Partner, Health
                                        Q: What are some                                    operating costs and
                                                                                            a high cost of living
                                                                                            is almost always a

     Enterprise Partners                of the challenges of                                consideration that
                                                                                            needs to be thought

                                        building a business
    Despite making major                                                                    through not only at
    strides towards providing                                                               the initial stages but
    subsidized office space                                                                 as a company gains
    and resources for startups
    in the city, NYC remains a
                                              in NYC?                                       traction and grows of
                                                                                            several employees to
    very expensive place to live                                                            dozens or hundreds
    and work.                                                                               of employees.

                                                           10
Aran Ron | Partner, FundRx                                           Florian Otto
There are enormous inefficiencies in the                                        CEO, Cedar
healthcare system, and we’ve only scratched the
                                                               There is no denying that there is a
surface of addressing those inefficiencies. I’m
                                                               consumerization trend taking over healthcare.
optimistic about companies that can provide
                                                               Health insurance is an area that can be much
better services or IT solutions that can capture
                                                               more patient friendly. Understanding patient
data in a different way.
                                                               benefits should be easier and insurers could
                                                               be a more active partner in how patients
                                                               consume healthcare.

Bronwyn Spira | CEO,
                                 Q: Which healthcare sectors
Force Therapeutics
Patient engagement
                                           are you excited about?
and patient enablement
platforms will be key to
managing costs and
enhancing the patient
experience in healthcare.

                                                                    Wendy Goldstein | Yvan-Claude Pierre
                                                                    Partners, Cooley
                                          We are most excited about gene therapy and gene editing as
                                          healthcare subsectors grow in the next 5 years and beyond. The
                                          possibilities of gene therapy and gene editing hold much promise
   Ellie Wheeler
                                          and with careful planning and regulation, gene therapy and gene
 Partner, Greycroft                       editing will become an important remedy of the near future.
We’re excited about
anything that is bringing
transparency to
healthcare. We’re also
excited about analytics
that are driving better
                                                   Todd Pietri | Managing Partner, Activate Venture Partners
outcomes and cost
efficiencies, and the                 We’re interested in Health Economics & Outcomes Research (HEOR).
startups addressing the               We’re also interested in end of life or palliative care and innovation around
changing landscape of                 primary care business models that will have less brick and mortar, and more
care, including on-site,              telemedicine and virtual care.
near-site, and
telemedicine. It will be
important to approach
it with a consumer lens.

                                                          11
WHAT TO WATCH FOR
                                                                                      IN 2019
      2019 is shaping up to be a pivotal year for
     New York healthcare. We predict the following
               trends in the year ahead:

1.                                 2.                                        3.

DTC Health will                    Biotech will hit its stride.              Healthcare delivery
continue to flourish.              When will NYC catch up to Boston          will surprise you.
Direct-to-consumer services like   and SF? We’re starting to see             First came One Medical. Then
Ro, Capsule, Simple Contacts and   traction. In 2018, $488 million went      CityMD. And we realized that the
Parachute Health are booming.      to local biotech startups like            days of the sterile physician office,
They offer so much of what         Kallyope, Prevail Therapeutics,           long wait times, and inability to
traditional healthcare doesn’t –   Gotham Therapeutics, Quentis              connect by anything but phone
personalization, ease of use,      Therapeutics and Rgenix. Lab              were numbered. Now we have
seamless customer experience       space, once a huge gap, is coming         telehealth, in-home visits, concierge
and privacy when it matters.       online with the expansion of the          service - all tech-enabled. Think
They also connect directly with    West Side’s Hudson Research               Maven, Eden Health, Parsley
providers and health plans to      Center (home to NY Stem Cell              Health, Alma, and Heartbeat
alleviate customer stress.         Foundation) and Alexandria’s              Health. No doubt we’ll see more
Expect the trend continue.         planned third tower on the East           models emerge in 2019.
                                   Side. JLABS @ NYC opened in
                                   June inside the New York Genome
                                   Center and ELabNYC announced its
                                   7th cohort in December. The life
                                   science vision is finally taking shape.

                                                     12
4.                                     5.                                     6.

Patient engagement                     Data that informs will                 New models will disrupt
will simplify and                      transform the market.                  the PBM industry.
improve care.                          The holy grail is actionable data      Will 2019 be the year that PBMs
                                       that drives better decision-making,    are disrupted? We think so. Lack
Navigating healthcare can be hard.
                                       changes behavior, leads to better      of transparency and misaligned
Tools that help patients simplify
                                       outcomes. As payment models            incentives may be coming to an
the complexities of access,
                                       shift from volume to value and         end. We’ve had discussions with
adherence, benefits and payments
                                       clinical decisions become more         multiple startups looking to break
help them take back some control.
                                       complex, key stakeholders need         the PBM hold on pricing and
NYC is home to companies in all
                                       advanced analytics to help them        distribution. We expect to see
categories - Cedar, Force
                                       thrive. Medidata was one of the        one or more funded in 2019.
Therapeutics, AbleTo, Cecilia
                                       first to recognize this, followed by
Health and Wellthie to name a
                                       Crossix, Prognos, Flatiron and
few. These services address real
                                       others. Today startups like Aetion,
gaps for patients and families
                                       Cota and Clarify Health are leading
which will lead employers and
                                       the way to better outcomes.
plans to cover them, driving

                                                                                        Paige
growth in this category.

                                                             Wa t son

                                                                                              “
HELLO my name is...
Since Oscar launched in NYC in late    health strategy and analytics at           It supports the
2012, we’ve noticed a growing trend.   RedPeak, to weigh in. “The most
It showed up several times during      successful health tech companies           idea that some
2018 with the launch of Eden           have recognized that they need to       technologies should
Health, Paige.AI, Alma and Ezra.AI.    appeal to the human in all of us.
It was cemented during JP Morgan       Using a name like Watson or Paige         be considered a
when Fit4D announced its name          is one way to humanize technology.          partner or ally
change to Cecilia Health. What’s the   It supports the idea that some
deal with first names as company       technologies should be considered           to care teams
names? We asked branding expert
John Breen, executive director of
                                       a partner or ally to care teams
                                       going forward.”
                                                                                   going forward.”

                                                        13
Carolyn Magill | CEO, Aetion
Always keep in mind the mission of healthcare and how your product
or service improves the experience of delivering and receiving care.
Most importantly, make sure you are building a business you’re truly                       Michael Aberman
passionate about, and stay focused on solving real unmet needs.                             CEO, Quentis
                                                                                             Therapeutics
                                                                                        Some of the challenges
                                                                                        associated with NYC are
                                                                                        diminishing. We used to
                      Zachariah Reitano | Co-founder and CEO, Ro                        be a smaller biotech
                                                                                        community than other
            Don’t be intimidated by regulation. Healthcare is complex
                                                                                       “hubs” but this is changing
            and this complexity isn’t going anywhere any time soon.
                                                                                        rapidly. On the real estate
            However, this is an opportunity for startups. Own the
                                                                                        front, there was not much
            complexity for patients. Make their lives more simple by
                                                                                        developed lab space. This
            making your life more difficult.
                                                                                        has improved greatly and
                                                                                        may not be as much of an
                                                                                        issue now.

                                    MOVERS & SHAKERS

          FINAL THOUGHTS

                                                             Jean Drouin | CEO, Clarify Health
                                                 We continue to be humbled by the depth of talent in
      Gil Addo                                   the city and inspired by the creativity, vitality and special
   CEO, RubiconMD                                capacity of New Yorkers to get things done.
   The capital,
   customers and
   collaborators you
   need to grow are
   all in and around
   NYC. Hop on the
   subway or train
                                               Joel Wishkovsky | CEO, Simple Contacts
   and go to them.                  Stay focused. Don’t get distracted by all the opportunities around you. Focus
                                    instead on what you are here to build.

                                                       14
METHODOLOGY                                    AUTHORS
Data used in the creation of this report
was obtained from PitchBook and covered
the period from 01/01/2018 to 12/31/2018.
PitchBook places companies into various
healthcare subsectors, which we reviewed
and used in our analysis. These include:
                                                                                          Zack Caplan is an MBA
• Healthcare Devices and Supplies                  Bunny Ellerin is president               student at Columbia
• Healthcare Services                               and co-founder of NYC                 Business School. Zack’s
                                                   Health Business Leaders.               professional experience
• Healthcare Technology Systems
                                                     She is also Director of                 includes healthcare
• Pharmaceuticals and Biotechnology                   the Healthcare and                 technology startup Stellar
• Other Healthcare                                Pharmaceutical Management              Health, Boston Children’s
                                                     Program at Columbia                 Hospital’s Innovation and
Company Analysis:                                   Business School. Bunny               Digital Health Accelerator,
We included a company on the list if (1)          is passionate about driving            and Deloitte Consulting’s
the company was classified in a healthcare         change and transforming                healthcare strategy and
category above in the PitchBook database;                  healthcare.                       operations practice.
(2) the company listed NYC as its
corporate headquarters; (3) the company
received seed, angel, early-stage or
late-stage funding during the period
01/01/2018 to 12/31/2018.
Investor Analysis:                             ACKNOWLEDGEMENTS
To compile a list of New York City
healthcare venture capitalists, we used the    One of the factors that differentiates NYC from other markets
PitchBook database to identify investors       is the entrepreneurs, investors and advisors who are driving
within New York City who had done at least     innovation within our health ecosystem. Thank you to our
one healthcare deal during the period          esteemed contributors for providing insights for this report.
01/01/2018 to 12/31/2018. Only seed,           Gil Addo | CEO, RubiconMD
angel, early-stage and late-stage were
considered. We considered an investor to       Michael Aberman, MD | CEO, Quentis Therapeutics
be in New York City if the fund listed New     Jean Drouin, MD | CEO, Clarify Health
York City as its headquarters OR if the
                                               Wendy Goldstein, Esq. | Partner, Cooley
fund had a dedicated office in New York
City. The analysis is centered on VC-focused   Carolyn Magill | CEO, Aetion
investors, however private equity investors    Ezra Mehlman | General Partner, Health Enterprise Partners
with VC deals in the healthcare sector also
                                               Florian Otto, MD | CEO, Cedar
were considered.
                                               Yvan-Claude Pierre, Esq. | Partner, Cooley
Disclaimer
This report is provided for informational      Todd Pietri | Managing Partner, Activate Venture Partners
purposes only. Where possible, we verified     Zachariah Reitano | Co-founder and CEO, Ro
information obtained from PitchBook
                                               Aran Ron, MD | Partner, FundRx
through publicly-available sources (e.g.
company press releases, news reports)          Drew Schiff, MD | Managing Partner, Aisling Capital
and made judgment calls based on that.         Bronwyn Spira, PT | CEO, Force Therapeutics
If you find an error in the report, please
                                               Ellie Wheeler | Partner, Greycroft
contact us at info@nychbl.com so that we
can correct it.                                Joel Wishkovsky | CEO, Simple Contacts
                                                       15
NYC Health Business Leaders is a
professional community of 3,000 senior
executives who are leading, innovating
and driving healthcare forward.
For more information visit
www.nychbl.com or follow us @nychbl.

                                                Thank you to the Cooley team
                                              for their support and partnership!

                                         16
You can also read