Early-stage VC firm .406 Ventures announced that it has raised $265 million in capital commitments for Point 406 Ventures V, L.P., the firm’s fifth core fund. In raising the fund, .406 Ventures received strong interest from new and longstanding limited partners, including leading university endowments, foundations, pension plans, and strategic investors.
Consistent with prior funds, this new fund will invest in promising companies focused on solving the biggest problems in healthcare, data + AI, and cybersecurity. And .406 has already invested in four companies from the new fund with plans for investments in over 20.
Since its founding in 2005, .406 Ventures has raised over $1.4 billion across five core funds and three opportunity funds and invested in 87 innovative companies that have created over $18 billion of value.
.406 was the first institutional investor in category creators with highly successful exits, such as Iora Health (now a central pillar of Amazon Health), AbleTo (one of Optum Health’s core behavioral health offerings), Carbon Black, and CloudHealth (VMWare’s endpoint protection and cloud management platforms, respectively), and Corvus (Travelers’ cybersecurity insurance business).
.406 will double down on its support of portfolio companies through several well-established initiatives, including its active Executives-in-Residence program, the 14-year-old .406 Student Fellows program, and three industry-specific Executive Councils composed of over 100 C-level operators from Fortune 500 companies.
KEY QUOTE:
“With the new fund, we will stay true to our time-tested strategy of backing exceptional founders who are obsessed with solving the biggest and most vexing problems in healthcare, data + AI, and cybersecurity – the industries we know best. Over the next few years,” he continued, “we are particularly excited to build upon our 15-year track record of investing in data + AI companies, especially those that sit at the intersection of AI with our other two areas of expertise – healthcare and cybersecurity.”
- Liam Donohue, co-founder and managing partner
