HealthQuest Capital, a Belmont, CA-based sector specialist capital firm focused on companies optimizing value in health care, closed HealthQuest Partners IV, L.P., at $675m.
HealthQuest will continue to invest in healthcare companies at growth stages through the fund.
HealthQuest’s founder and managing director is Garheng Hong, MD, MBA, PhD. HealthQuest believes innovation in healthcare occurs at the intersection points of digital health, diagnostics/tools, and medical technology. The fund IV target markets are companies at the commercial stage that have the potential to improve patient outcomes and/or reduce costs and inefficiency. HealthQuest will look for growth companies that can capitalize on current trends in the healthcare industry and have long-term potential. Fund IV will seek companies that are innovating in the medical/technology sector, such as AI-enabled diagnosis and precision oncology. It will also look for companies that innovate on the care model side. This includes evolving primary care solutions and mobile caregivers.
Since the firm’s founding in 2013, HealthQuest has raised more than $1.6 billion across four funds and has made investments in a variety of healthcare startups including Everly Health, Lunit, Thirty Madison and TigerConnect. The team has also seen 18 exits across IPOs and M&A transactions, including the sale of BardyDx to Hillrom (now Baxter), BioIQ to LetsGetChecked, Biotheranostics to Hologic, and the IPO of Castle Biosciences.