Boston-based venture company, 406 Ventures, marks another success story as it gathers substantial support for its fifth fund. Leadership of the firm, founded by Liam Donohue, Maria Cirino, and Larry Begley, remains rooted in the healthcare, data and AI, and cybersecurity sectors.
The firm’s vision has once again drawn the attention of both loyal and new investors. The triple expertise of Donohue, Cirino, and Begley not only underpins the firm’s strategic investments, but also inspires trust.
Innovative startups in healthcare, data and AI, and cybersecurity domains can expect 406 Ventures to keep scouting for promising prospects. The firm’s proven strategy generally yields high returns, paving a successful path for future ventures. It’s these new funds that will fuel future growth and innovations.
The fifth fund represents a variety of contributors like university endowments, foundations, pension schemes, and strategic investors. The firm, now 18 years strong, has successfully raised over $1.4 billion of total capital. This capital is allocated among five primary funds and three opportunity funds.
Liam Donohue noted an uptick in repeat founders eager for investments, a trend set to continue in the fifth fund. One in three investments in Fund Four was with a serial entrepreneur.
Among its portfolio of 87 companies, 406 Ventures proudly includes many successful exits or public listings. One such example is Iora Health, now part of Amazon Health after being bought out by OneMedical. There’s also a cybersecurity insurance company purchased by Travelers back in 2023.
The new fund already boosts four companies, for example Portrait Analytics, an AI platform for investment research, and thesis generation. Projections indicate over 20 companies will reap the benefits of this fund.
406 Ventures strives to minimize startup investment risk. With the input of 100+ C-suite executives from Fortune 500 companies, they identify possible vulnerabilities and pick startups with secure safeguards. They look forward, creating strategies for the next three to five years and looking out for potential weaknesses.
