Frist Cressey Ventures (FCV) has closed an oversubscribed $425 million Fund IV, bringing total assets under management to nearly $1 billion and reinforcing its position as a major early-stage investor in healthcare services and technology-enabled care.
The Chicago- and Nashville-based firm will use the new capital to back early-stage companies reshaping care delivery, with a sharpened focus on “AI-native” business models—platforms built from the ground up with artificial intelligence embedded at their core rather than layered onto legacy workflows.
FCV has built a distinctive edge through its strategic limited partner network, which includes The Cigna Group Ventures, MedStar Health, and OhioHealth. Collectively, these partners touch more than 50% of the U.S. population. For founders, that reach can translate into more than capital—it can mean pilots, contracts, and scaled distribution.
A quarter of FCV’s portfolio companies have secured investment from at least one of these strategic partners, underscoring the firm’s ability to bridge venture funding with real-world healthcare adoption. The Cigna Group has stated that the collaboration helps it “advance solutions that drive better health outcomes.”
Historically, FCV built its reputation investing in value-based care models such as Thyme Care. Fund IV will continue supporting companies aligned with outcomes-based reimbursement but will expand aggressively into AI-enabled service models aimed at improving efficiency, clinical decision-making, and patient engagement.
The firm’s track record strengthens its credibility with founders and LPs alike. Fund I and Fund II rank in the top 5% of venture capital funds for their respective vintages. Across 44 total investments, FCV has achieved 14 exits.
“This milestone reflects the clarity of purpose, conviction, and deep commitment of our team, investors, and portfolio companies, all united by a shared mission to advance innovation in healthcare that improves lives and keeps patients at the center of everything we do,” said Sen. Bill Frist, MD, Co-Founder and Managing Partner, Frist Cressey Ventures. “As we enter this next chapter, we’re excited to build strong, transformative, and enduring partnerships – and to serve as a trusted partner to the leaders and companies shaping the future of patient-centered care.”
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