On Tuesday, Andreessen Horowitz (often abbreviated as “a16z”) announced it raised $750 million for it’s third fund, earmarked for biotechnology and health care investing.
Subscribe to the Crunchbase Daily
Fund III is the largest in this series of funds. Andreessen Horowitz’s previous biotech and health care funds came in at $450 million for Bio Fund II (announced in December 2017) and $200 million for Bio Fund I (announced in November 2015).
In its announcement for Fund III, the firm’s managing directors said “[t]ech, biotech, and our healthcare system are merging—into what we call simply ‘bio.’ And whether for pharma, hospitals, or investors, bio is now officially the hot new thing.”
The firm’s portfolio companies are operating on several sides of this emerging sector.
“We are now approaching a new ability to rethink bio’s biggest problems, from intractable diseases and massive inefficiencies or disparities in an overburdened health care system, to what we eat, what we wear, what we build, even how we heal our planet. And we will do this by using our most advanced technological tools, as well as the engineering principles that brought them to us,” fund managers Vineeta Agarwala, Jorge Conde, Vijay Pande and Julie Yoo said in their announcement.
Illustration: Li-Anne Dias