Course Description
Venture capital and private equity investing in healthcare. Students learn deal sourcing, due diligence, term sheet negotiation, portfolio management, and exit strategies from the investor perspective. Guest speakers from leading healthcare VC firms. Students participate in simulated investment committee decisions.
Credit Hours
3 credits (3 seminar)
Prerequisites
FIN 601 or equivalent finance course
Student Learning Outcomes
- Source and screen healthcare investment opportunities
- Conduct due diligence on early-stage healthcare companies
- Evaluate management teams and governance structures
- Negotiate term sheets and structure healthcare investments
- Develop value-add strategies for portfolio companies
- Model exit scenarios and returns for healthcare investments
Course Topics
- Healthcare VC Ecosystem: Firms, LPs, Investment Thesis
- Deal Sourcing: Networks, Accelerators, Referrals
- Due Diligence: Market, Technology, Regulatory, Commercial
- Term Sheet Mechanics: Valuation, Liquidation, Anti-Dilution
- Board Governance and Investor Rights
- Portfolio Management and Value Creation
- Exit Strategies: IPO, M&A, Secondary Sales
- Emerging Areas: Digital Health, Life Sciences, Services
Deliverables
- Deal Memo and Investment Thesis (20%)
- Due Diligence Report (30%)
- Term Sheet Exercise (15%)
- Investment Committee Presentation (25%)
- Class Participation (10%)
Required Textbooks
- Gompers & Lerner: The Venture Capital Cycle (3rd ed.)
- Feld & Mendelson: Venture Deals (4th ed.)