Tony James, the billionaire former president of Blackstone, has launched Jefferson Life Sciences, a new healthcare and biotech-focused investment fund under his family office, Jefferson River Capital, Bloomberg reports.

The New York-based fund will target innovative medical businesses from early-stage development through to commercialisation. It will be led by biotech entrepreneur Laura Lande-Diner as Managing Partner and supported by a team of more than six senior advisers.

Jefferson Life Sciences expands on James’ existing healthcare portfolio, which includes investments in PM Pediatric Care, a US-based provider of children’s medical services, and Renalytix Plc, a London-listed company developing AI-enabled solutions for kidney disease.

James, 74, stepped down from Blackstone in 2022 after nearly two decades at the private equity giant, where he oversaw its IPO and helped transform the firm into a $1tn alternative asset manager. His fortune is valued at about $8.8bn, according to Bloomberg.

Jefferson River Capital, founded almost a decade ago, has been broadening its alternative investment footprint. Earlier this year, it launched a private equity spinout led by David Wittels, a former colleague of James at Donaldson, Lufkin & Jenrette, which closed its debut fund with James as an anchor investor.

The new biotech fund signals a growing focus among billionaire family offices on specialised private market investments, particularly in healthcare innovation.

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