It was just over 16 months ago that I wrote a blog post outlining my new investment in BÂRRX Medical.
And what an incredible 16 months it has been for the company.
Today’s exciting news that BÂRRX is being acquired by Covidien has me beaming from ear to ear for lots of reasons.
Not only am I proud to have been associated with such a stellar and professional management team, led by the incredible duo of Greg Barrett and David Utley, but I am also thrilled to know that almost 100,000 patients were treated and cured successfully with BÂRRX devices over the past several years.
Rarely do the stars align in an investment like they did here:
1. Tireless, hungry, and inspiring management team
2. Incredible clinical data – including a randomized double blinded New England Journal of Medicine study
3. Dramatic published cost-effectiveness data
4. Positive recent medical society guidelines
5. Strong reimbursement rates despite the current backdrop of cuts
6. Rapidly growing global presence, revenues, and clinical acceptance
I could not be more thrilled for the 100 or so men and women who have made BÂRRX such a great company since its first round of capital in 2003.
I’ve learned a lot from this company and its management team. Namely – if you do things right clinically, for doctors, for patients, for your employees, for your shareholders, and the healthcare system, good things will happen.
I also learned that investing in category defining and leading companies really matters.
So to all who think healthcare VC investing has been left for dead, please think again.
We’re not going anywhere.
The recent pullback is of course temporary. When the inevitable bubble bursts in other sectors of venture capital investing, does anyone doubt that healthcare venture will again be in favor, as it was just a decade ago after the carnage of 2000 and 2001? After all, history may not repeat itself but it sure does rhyme (to quote George Zachary from CRV).
- People are still getting old.
- People are still getting sick.
- Healthcare still is the only net area of employment growth in the economy.
- Whether we like it or not, healthcare is nearly one-fifth of our economy.
- Large-cap healthcare companies still need to acquire innovative and growing private companies to boost their growth rates.
Thank you BÂRRX for restoring my faith that the good guys do actually finish first sometimes.