Lumira Ventures Closes a $255 Million Fund for Healthcare Startup Companies

By McKenzie Carpenter | Monday, 26 July 2021 | Finance, Startup, Health & Wellness

Lumira Ventures, a venture capital (VC) firm, announced it closed a $255 million fund that will support the growth and expansion of healthcare companies in Canada and the United States (US).

Doctor interacting with virtual medical technology screen.

About Lumira Ventures

Lumira Ventures is a Canadian VC firm that exclusively invests in entrepreneurs and startup companies that are attempting to transform healthcare by providing innovative solutions. In particular, the company is investing in healthcare startups that focus on making immediate, significant improvements to a patient’s health by reducing cost. 

While the business claims it invests in healthcare startup companies across all of North America, Lumira Ventures currently invests in startups based out of Canada and the US. The company states that it has invested in more than 100 healthcare startup companies, which has resulted in more than $450 million in total investments. Additionally, the investment recipients have amassed more than $70 billion in cumulative revenue. The healthcare startups that have received funding from Lumira Ventures have provided healthcare services to more than one billion patients worldwide. 

Primarily, the VC company invests in private and public early, clinical, or revenue-stage healthcare startup companies. The business has also invested in startup companies within a wide range of healthcare solutions such as biotechnology, medical devices, and digital healthcare. 

Lumira Ventures’s portfolio includes healthcare startups that are creating solutions for healthcare conditions such as congestive heart failure, cancer, infectious diseases, and Alzheimer’s disease. Some startup companies the VC firm has funded include KalGene Pharmaceuticals, Cardiac Dimensions, IMV, and Iterion Therapeutics.

New Healthcare Fund

The VC business announced it closed on its new $255 million investment fund, Lumira Ventures IV. Crunchbase data indicates this is the largest investment fund to date for the VC company; its previous fund, Lumira Ventures III, was roughly $178.5 million in 2017. Moreover, the business added that it is the largest life sciences VC fund ever in Canada.

Peter van der Velden, co-founder and managing general partner at Lumira Ventures, said in a company statement, “...While Lumira Ventures IV is more than 55% larger than our prior fund, its mission and strategy remain the same – investing in companies at the forefront of biomedical innovation whose products have the potential to transform patient outcomes, improve healthcare access and reduce the cost of healthcare delivery.”

The VC business added that since 2020, it has helped eight different healthcare startups achieve realization. AccountingTools defines realization as “...the point in time when revenue has been generated...Realization occurs when a customer gains control over the good or service transferred from a seller.” 

Lumira Ventures stated that two of its investment companies received approval from the Food and Drug Administration (FDA), but it did not disclose which startups gained approval. In addition, the firm has helped other companies secure $800 million in new capital as well as through initial public offerings or IPOs. 

Lumira Ventures did not disclose how many healthcare startups will receive funding from the new fund, nor how much each recipient will receive over an undisclosed period of time. 

Investors in the new fund include Kensington Capital Partners, Fonds de Solidarité FTQ, Northleaf Capital Partners, the Ontario Capital Growth Corporation, Royal Bank of Canada, and many others.

About the Author

Headshot of McKenzie Carpenter

McKenzie Carpenter is a graduate of Central Michigan University with a B.A.A. in Integrative Public Relations and French. McKenzie has previously worked for small businesses and nonprofit organizations.

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