Deerfield raises $600 million to back AI-driven innovation

US investment firm Deerfield Management has closed its latest fund with $600 million in commitments to support advances in drug development, healthcare delivery, and AI-powered technologies.

The Healthcare Innovations Fund III will target early and growth-stage projects with the potential to shift current standards in therapeutics and care models, according to Deerfield. The fund will also channel a portion of profits to the Deerfield Foundation, continuing the firm’s longstanding practice of funding global child health initiatives alongside its for-profit investments.

“There has never been a better time to invest in new and evolving technologies and products across the life science, medical technology, and healthcare service landscape,” said managing partner James Flynn. He added that progress in data and software is “transforming what is possible to achieve in improving health outcomes.”