Innovaccer Inc., a health AI company headquarterd in both Noida and San Francisco, has raised $275 million in its Series F round of funding, which includes primary and secondary investments. Of note to raise the funds were an influx of investors such as B Capital Group, Banner Health, Danaher Ventures LLC, Generation Investment Management, Kaiser Permanente, and M12.
PC: TechCrunch
This represents the latest investment for Innovaccer, following a gap of more than three years. Earlier, the firm raised $150 million in Series E funding in December 2021. Thus far, Innovaccer has raised a total of $675 million and has a valuation above $3.4 billion.
The new funds will be pivotal in strengthening Innovaccer’s partnerships with current customers, building its AI and cloud capabilities, and scaling its developer ecosystem. The company intends to introduce a number of copilots and agents to its offerings. The innovations will comprise functionalities for utilization management, prior authorization, clinical decision support, clinical documentation, care management, and contact center services.
Established in 2014, Innovaccer has taken on a leadership role in offering an integrated suite of software solutions meant to empower value-based care programs, modernize patient experiences, and reduce administrative burdens for healthcare providers. The firm has received multiple Best-in-KLAS accolades across the categories of data and analytics, population health management, and CRM. Innovaccer currently supports six of the top ten health systems in the U.S. and has deepened its public sector partnerships with counties in San Mateo and Alameda.
The company has grown significantly, with a 50% year-on-year revenue increase over the last five years. While Innovaccer hasn’t announced its latest financials, it is said to be expecting to turn profitable in the first two quarters of FY25. In fiscal year 2023, the company reported ₹397 crore in revenue and ₹37 crore in profit in India, though it hasn’t filed its annual reports for FY24 yet.
Besides the funding success, Innovaccer has been aggressive in augmenting its capabilities through strategic acquisitions. In the last year alone, the company has acquired Cured and Pharmacy Quality Solutions, which will strengthen its services offerings.
With this significant funding, Innovaccer is well-positioned to drive innovation in the healthcare sector by enhancing its suite of solutions for improving patient care and streamlining health system operations. The company will continue to grow with an aim to further solidify its position as a leader in the healthcare technology landscape to contribute to more efficient and effective healthcare delivery.
