Leaders of health system venture capital arms say the collapse of Silicon Valley Bank will hinder innovation and make an already risk-averse industry even more so, Becker’s reports.
“The full impact is hard to quantify, but things certainly will take time to normalize and we can expect that it will slow down the pace of innovation in healthcare,” said Mayank Taneja, MD, vice president of venture investments for OSF Ventures, part of Peoria, Ill.-based OSF HealthCare.
Many OSF Ventures’ portfolio companies banked with Silicon Valley, the second-largest U.S. financial institution on record to fail, and have been scrambling for money to make their next payroll, he said. The Federal Deposit Insurance Corp. backed deposits up to $250,000.
Last year was a challenging one for healthcare startups, and 2023 looks to be no different, Dr. Taneja said. Read more.
