Durham-based VC firm closes largest funding round amid sector downturn, marking 25 years and 100th portfolio investment
Hatteras Venture Partners has closed two investment funds with a total of $200 million in commitments, announced Wednesday morning, representing the firm’s largest fundraising to date and a significant milestone as it reaches its 100th portfolio company investment.
The closing includes $177 million for Hatteras Venture Partners VII (HVP VII) and $30 million for Hatteras Opportunity Fund I (HOF I), positioning the Durham-based firm to continue its quarter-century mission of building transformational human medicine companies.
Strategic Timing and Market Context
The fund closings come at a time as Hatteras has invested in its 100th portfolio company and marks 25 years of building transformational human medicine companies that benefit patients and the professionals who serve them. This achievement is particularly noteworthy given the broader downturn in venture capital funding for life sciences, suggesting sustained investor confidence in Hatteras’ targeted approach to early-stage healthcare innovation.
The successful fundraising stands in stark contrast to industry-wide challenges, where many biotech-focused venture funds have struggled to attract capital amid public market volatility and increased investor selectivity. Hatteras’ ability to secure over $200 million demonstrates the value of a proven track record and deep expertise in life sciences investing.
Investment Focus and Portfolio Strategy
Hatteras Venture Partners is a venture capital firm that builds transformational companies in the areas of biopharmaceuticals, medical devices, diagnostics, healthcare IT, and related opportunities in human medicine. The firm typically invests in companies built on cutting-edge science from leading academic institutions across major U.S. healthcare innovation hubs.
The dual-fund structure reflects Hatteras’ comprehensive approach to life sciences investing. The larger $177 million flagship fund will support new seed and Series A investments, while the $30 million opportunity fund provides flexibility to support follow-on rounds in promising portfolio companies and capitalize on strategic opportunities.
Recent Portfolio Success
Recent portfolio validation came through HistoSonics’ announcement of its strategic acquisition in a landmark transaction, demonstrating the firm’s ability to build companies that achieve significant exits. HistoSonics’ $2.25 billion acquisition by a consortium of top-tier investors exemplifies the type of transformational outcomes Hatteras seeks to create across its portfolio.
This success story reinforces the firm’s investment thesis focused on companies developing breakthrough technologies with significant commercial potential and clear paths to improving patient outcomes.
Impact on U.S. Biotech Ecosystem
The successful fundraising provides crucial capital for early-stage life sciences companies at a time when venture funding has become increasingly scarce. Hatteras’ focus on companies built on cutting-edge science from leading academic institutions helps bridge the critical gap between academic research and commercial development.
With operations spanning most of the major hotspots for health innovation across the United States, Hatteras plays an important role in nurturing the next generation of biotech and medtech companies that will drive healthcare innovation.
Leadership and Organizational Development
The fundraising milestone coincides with internal promotions, including the promotion of Lauren Flickinger, indicating the firm’s commitment to developing its investment team and maintaining expertise across evolving healthcare sectors.
As Hatteras enters its 26th year of operations with over $200 million in fresh capital, the firm is well-positioned to continue its mission of transforming cutting-edge science into companies that benefit patients and healthcare professionals worldwide.
