Why We Invested: Innovaccer
Author: Nick Whitehead; co-contributors Rashmi Gopinath and Shwan Kazzaz
The US healthcare market represents approximately 18% of GDP, and yet while spend has increased at such a remarkable rate over the last two decades the outcomes don’t seem to keep pace. There is a dire need for a drastic shift in the way care is consumed and delivered in this country, and at the heart of this shift is a massive digital transformation where software will play a critical role. Technology alone, however, won’t be enough – the stakeholders across healthcare must collaborate to deliver care that is most beneficial to the patient and the regulatory landscape has to reflect one that encourages and incentivizes such cooperation, as we’re seeing in CMS’ strategy around value-based care. Leading the charge behind healthcare’s digital transformation is Innovaccer, whose Health Cloud platform unifies previously siloed and disconnected data from disparate sources so that stakeholders across the care continuum can most effectively collaborate and deliver high-quality care at lower costs. The company has assembled the platform, expertise, and capabilities required to deliver on its seemingly simple yet herculean mission in healthcare: to connect and curate the world’s healthcare information to make it accessible and useful.
B Capital is thrilled to announce our participation in Innovaccer’s latest $150M Series E round of funding, coming off the back of incredible growth since its Series D earlier this year. B Capital’s relationship with the company stems from Rashmi Gopinath, a General Partner with the firm, who initially led the company’s Series B round back in 2018 while an investor at Microsoft’s venture arm. And through our longstanding relationship with Abhinav Shashank, Innovaccer’s Co-Founder and CEO, and his Co-Founders Kanav Hasija and Sandeep Gupta, we have developed a strong conviction that they are the leading force in digitizing healthcare delivery at scale.
Innovaccer Co-Founders (L-R): Kanav Hasija, Abhinav Shashank, Sandeep Gupta
At the heart of our confidence in the company is its industry-leading products, including a data activation platform and intelligent application suite that make up the Innovaccer Health Cloud. The platform collects, connects, and activates data to form a unified patient record that radically improves the point-of-care experience for patients and providers. Beyond the point of care, the company also offers a toolkit for transformative analytics and insights around population health, social determinants of health (SDoH), provider network management, etc. Built on the backbone of its robust underlying data platform, the company is able to quickly develop and deploy interoperable solutions for its clients.
Over the last few years, Innovaccer has signed more than 50 customers across the country, including the nation’s top provider, payer, pharmaceutical, and digital health companies (e.g., One Medical, Roche, CommonSpirit, Franciscan Health, Dayton Children’s Health Partners, St. Luke’s Health System, Sentara, Adventist Health, Premier Health, Children’s Health Alliance, Premier Health, Atlantic Health System, Providence St. Joseph, Cityblock, Florence Health, and Zus Health). More than 37,000 providers and 10,000 healthcare organizations make use of the Innovaccer Health Cloud, unifying health records for more than 24 million people and generating greater than $600 million in savings. Further bolstering our belief in the company is the outstanding feedback and results we’ve seen from customers such as Banner Health, which has been leveraging Innovaccer to manage its population health strategy for over a million lives, as well as a leading clinically integrated network (3,600+ providers, 200K+ patients, 36 hospitals) which credits the platform for a 23% improvement in customer ratings and a 33% boost in patient appointments. The company has been ranked #1 Best in KLAS vendor for 2021 in population health management, and is the #1 customer-rated integration and interoperability vendor by Black Book.
We at B Capital are excited to once again support the leading player behind the digital transformation occurring in healthcare today. Innovaccer is well-positioned to become the platform on which the industry relies as it continues to shift towards value-based care and its stakeholders work more collaboratively in pursuit of better outcomes. We are thrilled to be on this journey together and can’t wait to see what the future holds.