Pictured: FloPatch®, wireless, wearable ultrasound device for fluid management, by Flosonics® Medical
Approach
Entrepreneurial Spirit, Midwest Grit
A disciplined healthcare venture capital strategy driven by an unrelenting work ethic to achieve success for our entrepreneurs and investors
What do we look for?
- Innovations that deliver meaningful improvements to patient outcomes and reduce health system costs
- Groundbreaking opportunities in our sectors of focus: medical devices, life sciences tools & diagnostics, tech-enabled care delivery, and pharma adjacencies
- Founders and CEOs with domain expertise who embrace capital efficiency and seek collaborative investment partners rather than passive financiers
- Investments that span development and commercial stage but focus on Series A and B opportunities
- Under-ventured opportunities, as it relates to geographies, teams, and sectors
What do we commit to you?
- Active and involved healthcare investors who operate with integrity, approachability, and transparency
- A team of passionate healthcare and venture capital experts diverse in demographic and experience
- A track record of success and experience navigating the ups and downs of early-stage company building
- Access to a world-class advisory board to leverage C-level experience, expertise, and leadership in healthcare
Pictured: Vivally® wearable neuromodulation system for urinary incontinence, by Avation® Medical
A commitment to teamwork
Since our founding in 2002, Arboretum has become a leader in early healthcare investing by fostering a culture rooted in respect and integrity. We attribute our success to the fundamental values that drive our culture.
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True to the mission
Invest in great people with great ideas and a passion for improving healthcare quality, access, and affordability
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People first
Lead selflessly and act as supportive partners to our entire team and stakeholders
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Honesty wins
Act with integrity and make the hard decision when we know it is the right decision
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Continuous improvement
Strive to be at the forefront of healthcare industry trends through research, education, and partner-building
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Community-focused
Use our talent, time, and resources to give back to the healthcare ecosystem and local communities
The impact
Community requires teamwork, and at Arboretum, we believe the best teams are diverse in culture, gender, thought, and experience. At our firm and within our portfolio companies, our goals are to be healthcare investors who:
- Build and foster a supportive and diverse corporate culture
- Prioritize diversity among senior management and fellow board members
- Assist our institutional investors in extending their internal diversity and inclusion initiatives
Portfolio Spotlight
Trailblazers can achieve the impossible when others only imagine it
With more than 20 successful years under our belt and a nationally recognized reputation, we’ve proven that achieving healthcare venture capital success right here in the Midwest is possible.
Where it started:
Francis Medical is a Minneapolis-based company developing a minimally invasive device to treat urological cancers using the Vanquish Water Vapor Ablation System. Francis spun out of NxThera, an Arboretum II portfolio company, which was acquired by Boston Scientific in 2018. NxThera developed and commercialized a water vapor therapy to treat benign prostatic hyperplasia (BPH). Under the NxThera acquisition agreement, Boston Scientific granted Francis an exclusive sublicense to develop vapor-based treatments for prostate, kidney, and bladder cancers using the same core intellectual property.
Francis is initially focusing on prostate cancer, which is the second most common cancer in men. Current prostate cancer treatments are hindered by significant side effects including urinary incontinence and erectile dysfunction. Francis developed the Vanquish system to not only ablate cancer cells but also protect surrounding structures, reducing the likelihood of the life–altering side effects common with existing treatment options. Arboretum led Francis’ Series A financing in 2018 and helped recruit additional investors for the Series B. Arboretum was also instrumental in recruiting two top tier independent directors.
Where it is today:
Arboretum’s early investments in Francis enabled the company to complete product development and early clinical studies, which demonstrated strong signals of efficacy with significantly fewer side effects than competitive treatment options. In 2023 the FDA granted the Francis Vanquish System Breakthrough Designation, which expedites the review of innovative technologies that provide for more effective treatment or diagnosis of life-threatening diseases.
Also in 2023, Francis initiated the VAPOR 2 pivotal study in support of an FDA submission for US market clearance. The study is currently enrolling 235 patients with localized, intermediate-risk prostate cancer. The company is raising a Series C round in 2024 to fund the completion of the pivotal study.
