By David E. FahrentholdIn a rare move, a $30 billion fund dedicated to helping fund venture capital companies in the U.S. is now a major player in the country’s venture capital ecosystem.
The U.K.-based Venture Fund, which is the second largest VC fund in the world, raised $12.7 billion in new funding this year, according to the New York Stock Exchange.
The fund, which also includes private equity firms Kleiner Perkins Caufield & Byers and Sequoia Capital, also has $12 billion in assets under management.
“It’s just another example of the power of the investment ecosystem to bring investment opportunities to the table,” said Mark Green, CEO of the New Venture Fund.
He added that the fund’s investment in startups and companies focused on medical imaging, which are increasingly underfunded, has been an “incredible catalyst for growth in the sector.”
“As the number of companies in medical imaging grows, the fund is able to invest in the companies that can help drive innovation, create new jobs and drive better care for patients.”
Venture Fund is one of the largest, if not the largest VC firm dedicated to medical imaging.
It raised $3.6 billion in 2016, the most recent year for which numbers are available.
“Our team is committed to building the future of medical imaging and providing access to breakthrough technology,” Green said in a statement.
The new venture fund will invest in companies in a variety of areas, including research and development, medical device and medical imaging services, and consumer product.
The New Venture fund has previously focused on the medical device industry.
The company’s first venture fund, the New Vision Venture Fund in 2004, raised about $10.5 billion.
That fund has also focused on funding medical imaging startups.
The $30 million investment in the new fund comes just days after the New America Foundation, an organization that supports the development of medical technologies and medical research, said it was raising $50 million to help fund the development and commercialization of the new X-ray technology.
“This fund is a major step forward in our efforts to make the medical imaging industry a more accessible and affordable space,” New America CEO John Bogle said in the statement.
“We look forward to working with the New Ventures Fund to drive the next generation of innovative, low-cost X-rays for everyone.”
The fund is now one of four venture funds that have joined together to form the Medical Imaging Venture Fund—a $50 billion fund that aims to help finance startups that focus on the development, commercialization and commercial deployment of new X, X-Rays, and X-Ray diagnostics.
The Venture Fund invests in companies like Biovironment, which has been in business for more than 15 years, and is currently working on a technology to create an X-RAY imaging system that can detect cancer cells.
The medical imaging sector is currently in a slow but steady decline.
The average number of imaging facilities in the United States fell to 5.7 in the third quarter of 2016, according the Bureau of Labor Statistics, down from 7.3 in the second quarter of 2015.
The number of facilities fell for the first time in more than five years in the fourth quarter of 2017.
“The industry has experienced a massive slowdown in the last few years, but we have a chance to change that by partnering with the new Venture Fund,” said Peter Levine, chief executive of X-RAM.
“With its focus on medical technology, the Venture Fund can provide the necessary funding to build upon existing technologies and to expand and improve our capabilities.”
Green noted that the $30-million investment in X-RAID is just one of many in the medical industry that will benefit from the new venture funds investment.
“A lot of the innovation that is occurring in medical technology today is happening at the expense of other industries,” he said.
“I’m really proud to say we’re the only industry in the business that can offer an XRAY system to every patient.”