Investment & Company Creation

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Partners Innovation Fund

The Partners Innovation Fund (PIF), managed by Innovation’s Venture group, was established in 2007 and launched with a total commitment of $35 million from Brigham and Women’s Hospital and Massachusetts General Hospital. It addresses Partners HealthCare’s unmet need for funding of early-stage technology to drive improved medical care for patients.

The goal of Venture is to provide the necessary support to advance innovations in therapy, diagnostics, IT and medical devices.

Gains from investments are reinvested to fund new opportunities. Its managing staff has more than 60 years of combined experience in early-stage venture capital, start-up management, and technology commercialization.

The Fund has four major goals:

  • Enable early-stage inventions from Partners HealthCare to be further developed in startup companies.
  • Bridge the capital gap between early lead discovery and clinical proof of concept.
  • Attract external capital by demonstrating institutional commitment and a solid business plan.
  • Generate a return on investment to refresh capital for additional technology investments.

Gap Funding

While institutional venture firms have been raising significant capital, and corporate venture is increasingly interested in supporting the biotech ecosystem, there has been limited increase in the number of startups over the last five years. There remains a lack of funding for translation of exciting biology into support for translational research between discovery and proof of concept. By focusing on this capital gap, the Partners Innovation Fund can advance projects of high commercial potential to a stage where more traditional investment sources are attracted to underwrite the risk. The Fund has attracted over $800M in startup capital to its investments, with world-class institutional and corporate venture partners.

Equity investments include seed and early financing that will catalyze company formation and attract institutional and corporate investors. For all investments, funds will be reserved for participation in follow-on financing.

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Innovation Fund Review

Utilizing its proven diligence model since 2007, the team conducts in-depth diligence on all opportunities:

1. Initial Screening

Assesses opportunities for high commercial potential. Key project attributes are:

  • Product concept and value proposition
  • Intellectual Property Position
  • Stage of technology development
  • Market Opportunity
  • Technology Review
  • Management Team
  • Regulatory pathway
  • Funding requirements
  • Competitive Analysis
  • Business Model

2. Evaluation and Investment Decision

PIF staff conducts extensive diligence to assess the strength of the proposed business in relation to our investment criteria. This process takes place over 3 to 6 months during which time we interact with technical and market experts, possible customers, competitors and potential management and co-investors as we help to build a syndicate for seed or series A financing.

The team will work with investigators and their advisors to develop a business plan including connections to potential entrepreneurs, advisors and investors in the venture, private or corporate arena.

In the News

Partners HealthCare and Health Catalyst Honored as Recipients of the 2016 Microsoft Health Innovation Awards

March 9, 2016

SALT LAKE CITY and BOSTON, March 3, 2016 /PRNewswire/ — Health Catalyst and Partners HealthCare today announced they have been named recipients of Microsoft Corp.’s 2016 Health Innovation Awards. The organizations won the “Reinventing Productivity and Business Processes” category, which evaluates solutions that transform care delivery or population health by connecting clinicians and staff to…

Health Catalyst Announces New Products at HIMSS16

March 1, 2016

From the floor of the HIMSS16 Conference and Exhibition in Las Vegas, Health Catalyst announced it is launching the most significant update to its technology and product strategy since the introduction of its industry-changing Late-Binding™ Enterprise Data Warehouse (EDW) in 2008. The expansion of Health Catalyst’s product development program comes with the strong endorsement of…

QPID Acquired by Leading Technology-Enabled Medical Benefit Management Company eviCore healthcare

February 29, 2016

Leading Technology-Enabled Medical Benefit Management Company eviCore healthcare Acquires QPID Health Combined entity will support healthcare’s shift to value-based care with advanced analytics, software and services to support payers, hospitals, physicians and patients BLUFFTON, SC – February 29, 2016 – eviCore healthcare, a company committed to enabling better outcomes for patients, payers and providers through…

Editas Medicine pricing shares at $16 for year’s first IPO: reports

February 3, 2016

Editas Medicine Inc. EDIT, +0.00% priced shares for its initial public offering at the low end of the range, according to media reports late Tuesday, for what will be 2016’s first IPO. Editas will price 5.9 million shares at $16 a share, at the low end of its $16 to $18 range, to raise $94.4…

Partners HealthCare puts millions toward in-house innovation

January 13, 2016

The state’s largest health care system is putting an increased focus on financing homegrown innovations, with Partners HealthCare putting another $65 million in a fund used to invest in Partners technologies while opening the door to outside investors. The Partners Innovation Fund, created in 2007 with $35 million from Partners, was intended to progress Partners-developed…

Partners Innovation Fund Grows to $100 Million

January 12, 2016

Nine years ago, a grand Partners HealthCare experiment was launched. Not on a laboratory bench or in an exam room but on an organization-wide scale. With $35 million at stake, the concept was to run a venture model from within Partners with ready capital and experienced internal venture investors who could steward the creation of…

Cambridge startup Editas plans to test IPO market for biotechs

January 8, 2016

Editas Medicine Inc., a Cambridge startup that is developing treatments to modify disease-causing genetic defects, plans to go public in a deal that could test the strength of the market for new biotech stocks. In a filing Monday with the Securities and Exchange Commission, two-year-old Editas did not specify the sales price range or when…

FierceBiotech’s 2015 Fierce 15

January 8, 2016

Partners Innovation Fund portfolio company and PHS licensee Denali Therapeutics was selected for FierceBiotech’s 2015 highly competitive Fierce 15.

Quartet closes an upsized A round with a novel approach to pain

January 8, 2016

MGH spinout and PIF portfolio company, Quartet Medicine, added $6.25 million to its Series A fundraise, closing the round at $23.25 million as it moves toward clinical trials with a newfangled way of treating chronic pain.

Roche picks up a new autoimmune drug with $580M Adheron deal

January 8, 2016

10-9 – BWH spinout and PIF portfolio company, Adheron, has been acquired by Roch. Adheron is developing antibodies (currently in Phase I) targeting cadherin-11 for treatment of rheumatoid arthritis and other indications, and is based on technology developed by Michael Brenner, MD at BWH. Roche will be a great partner to move the product forward…

Blue Cross Blue Shield invests in Newton medical imaging company lifeIMAGE

January 8, 2016

10-2- PHS spin-off and Partners Innovation Fund portfolio company, lifeIMAGE, announced a $5 million strategic investment from Zaffre Investments, LLC, the investment arm of Blue Cross Blue Shield of Massachusetts. This investment follows the $17.5 million round of financing lifeIMAGE received in May.

FierceBiotech’s 2015 Fierce 15

November 11, 2015

Whatever lies ahead for biotech in 2016, we can now look back on a 3-year-long stretch of good times for the industry. Venture groups have used the wave of biotech IPO exits and M&A deals to go back and raise more money from institutional investors. And as billions of dollars in fresh capital has converged…

Cambridge-based Editas gets $120M investment to advance genome editing

November 11, 2015

Kendall Square startup Editas Medicine, which aims to cure diseases by fixing disease-causing genes, today announced a $120 million investment, representing the second-largest venture capital rounds in Massachusetts so far this year. The Series B round comes from more than a dozen public and private investors, some of which — like New York City-based Deerfield…

GeneInsight wins Bio-IT World’s Best Practice Award

April 10, 2013

Boston—Bio-IT World announced the winners of its ninth Best Practices Awards competition this morning in a plenary session at the 2013 Bio-IT World Conference & Expo in Boston. Grand prize winners were named in four life sciences categories highlighting best practices in genomics, cloud computing, big data in disease research, and big pharma data management…

Partners Innovation Fund Team