Cigna to invest $250M through new venture capital fund
Healthcare services company Cigna has launched a $250 million venture capital fund, Cigna Ventures. The fund will focus on transformative and innovative healthcare companies, including promising startups and growth-stage companies, according to the announcement.
Specifically, the fund will look at three strategic areas: insights and analytics, digital health and retail, and care delivery and management.
“Cigna’s commitment to improving the health, well-being and sense of security of the people we serve is at the front and center of everything we do,” Tom Richards, senior vice president and global lead, strategy and business development at Cigna, said in a statement. “The venture fund will enable us to drive innovation beyond our existing core business operations, and incubate new ideas, opportunities and relationships that have the potential for long-term business growth and to help our customers.”
Cigna is already involved in venture activity, with an equal number of both direct investments and a collaboration with five venture capital partners. Cigna has led the C1 round of financing for Omada Health, as well as made investments in Prognos, Contessa Health, MDLIVE, and Cricket Health.
Cigna is not the only company ramping up its investments in healthcare startups. Google parent company Alphabet recently benchmarked an additional $375 million in healthcare insurance startup Oscar Health. Late last year, UnitedHealth’s Optum launched its own $250 million venture capital fund focused on data analytics and digital health, Optum Ventures.
Cigna did not respond to media requests from HealthExec as of Wednesday afternoon.
The healthcare services company is also in the midst of acquiring pharmacy benefits manager Express Scripts for $67 billion.
Amy joined TriMed Media as a Senior Writer for HealthExec after covering home care for three years. When not writing about all things healthcare, she fulfills her lifelong dream of becoming a pirate by sailing in regattas and enjoying rum. Fun fact: she sailed 333 miles across Lake Michigan in the Chicago Yacht Club "Race to Mackinac."