February marked a significant month for health tech companies, with several securing substantial funding to fuel innovation and growth in the sector. Here are five of the most notable funding announcements:
OpenEvidence Raises $75 Million in Series A
OpenEvidence, an AI-powered company focused on enhancing medical knowledge, announced it had raised $75 million in a Series A funding round led by Sequoia Capital. The company’s AI copilot assists doctors in making informed decisions at the point of care, and its technology is already used in over 10,000 care centers across the U.S. This new investment brings OpenEvidence’s total funding to over $100 million. The company plans to use the funds to advance its medical domain-specific Large Language Models (LLMs) and expand its team of scientists specializing in LLMs and medicine.
Abridge Secures $250 Million in Series D Funding
Abridge, an AI platform that converts medical conversations into clinically relevant and billable documentation, has raised $250 million in its Series D funding round. The company, founded in 2018, serves outpatient settings, emergency departments, and inpatient environments. The round was co-led by Elad Gil and IVP, with additional participation from Bessemer Venture Partners, California Health Care Foundation, and several other prominent investors. The new funding will support Abridge’s development of advanced AI capabilities and further commercial expansion.
Candid Health Closes $52.5 Million in Series C Funding
Candid Health, which specializes in simplifying medical billing through its revenue cycle platform, has secured $52.5 million in Series C funding. The platform helps healthcare organizations achieve higher “touchless claim rates,” ensuring claims are processed accurately the first time without manual intervention. Led by Oak HC/FT, this round also saw participation from existing investors, bringing the company’s total funding to $99.5 million. The funds will aid Candid Health in expanding its platform and enhancing its services.
Berry Street Raises $50 Million for Nutrition Counseling
Berry Street, a nutrition counseling platform that connects patients with dietitians for insurance-covered one-on-one sessions, raised $50 million to further its mission. With a network of over 1,000 registered dietitians, the company plans to use this funding to expand its nutrition platform and enhance its provider AI tools. The round was backed by investors such as Northzone, Sofina, FJ Labs, and several prominent founders and executives from the health tech space.
Fay Secures $50 Million in Series B Round
Fay, another player in the nutrition space, raised $50 million in its Series B funding round. The company connects patients with over 2,300 registered dietitians, offering both virtual and in-person visits covered by insurance. Fay also helps dietitians build their private practices and obtain insurance credentials. Led by Goldman Sachs, the Series B round also included participation from General Catalyst and Forerunner. The funding will allow Fay to expand its services for both dietitians and clients, bringing its total raised to $75 million.
These funding rounds highlight the growing investment in health tech, with a particular focus on AI-driven solutions in medical decision-making, documentation, and healthcare services. As these companies continue to innovate, the future of healthcare appears increasingly digital and data-driven.
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