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Sprout Capital Healthcare Technology Portfolios:
Since 1995, members of the New Leaf team made all of the healthcare technology investments in
the Sprout Funds while they were part of the investing team at the Sprout Group. The Sprout
Funds were venture capital funds that were diversified across several sectors including
information technology, communications, services, and healthcare technology. The healthcare
technology investments in the four Sprout Funds included $1.019 billion in total cost, which
was invested in new and follow-on investments in 69 companies from 1995 to 2013. The
healthcare technology investments in the first three of these funds are now fully realized, and
those in Sprout IX are nearly fully realized. To date, across these four funds, the New Leaf team
has generated $1.997 billion of realizations in the aggregate (63 realized investments), and there
is $68 million in unrealized value in six unrealized investments.
The net annual IRR performance on the healthcare technology portfolios in each of the Sprout
Funds would place them in the top quartile of all healthcare venture capital funds tracked by
Cambridge Associates in each of the vintage years for which they have established a
benchmark!®. Additionally, over an 18 year period the net annual IRR on these portfolios
outperformed relevant public market indices when compared on a public market equivalent
basis (PME+)?°, The range of outperformance for each of these portfolios versus the S&P 500,
S&P Healthcare, NASDAQ Composite, and the Russell 3000 through March 31, 2014 is the
following:
Net IRR Outperformance vs. Public Indices (PME+ Methodology)
S&P S&P NASDAQ Russell
500 Healthcare Composite 3000
Sprout Capital IX, L.P. * +638 bps +776 bps +451 bps +565 bps
Sprout Capital VIII, L.P. * +587 bps +441 bps +725 bps +502 bps
Sprout Capital VIL, L.P. * +568 bps +302 bps +554 bps +554 bps
Sprout Growth II, L.P. * +2,258 bps +2,064 bps +2,125 bps +2,215 bps
*Healthcare Technology Portfolios
© Please refer to Section III: “Summary of Historical Investment Performance” and Section XHI: “Appendices” and the endnote C in
Appendix 4 regarding information provided by Cambridge Associates.
20 Please refer to Section III: “Summary of Historical Investment Performance” and Section XIII: “Appendices; Appendix 3” and the
endnotes thereto (regarding the PME+ methodology).
20
CONTROL NUMBER 257 - CONFIDENTIAL
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| Indexed | 2026-02-04T16:52:51.175858 |