Tech-enabled Medicare Advantage company Devoted Health shut a hefty $1.15 billion Sequence D funding round led by Rebellion and SoftBank Eyesight Fund 2.
Returning investors GIC, Andreessen Horowitz, Premji Invest, Maverick, Frist Cressey Ventures and NextView Ventures as effectively as new backers ICONIQ Advancement, Typical Catalyst, the Base10 Development Initiative and Emerson Collective also chipped into the elevate.
Devoted will settle for an additional $80 million for this funding round at a afterwards date to accommodate one particular of its existing buyers, the firm mentioned in the announcement. With this add-on investment, Devoted will have lifted $1.23 billion in its Series D and $1.99 billion to day.
WHAT IT DOES
Started in 2017 by Executive Chairman Todd Park, who beforehand cofounded both equally Athenahealth and Castlight Health and fitness, and his brother Ed Park, who also held prime positions at Athenahealth, Devoted is looking for to increase the health and fitness of older grownups by its stack of health care solutions.
It has established a combination of companies that include things like Medicare Benefit overall health ideas, partnerships with suppliers and the company’s in-household virtual and at-property treatment company, Devoted Clinical. All are powered by Orinoco, Devoted’s close-to-finish knowledge analytics system.
“Devoted Overall health is one of a kind in that our users are at the complete centre of almost everything we do, and our main product is seriously far better overall health. We are literally conserving, strengthening and extending life for older Americans every single day by way of our 1-of-a-kind strategy,” Ed Park, cofounder and CEO of Devoted Health, explained in a assertion.
The enterprise at present operates across Florida, Texas, Ohio and Arizona, and has developed its membership to virtually 40,000 users as of June. It features a income of $247.3 million through the first 6 months of 2021, a 128% increase in contrast with the same period of time previous year and a CMS star rating of 4.5 for its first yr of eligibility for a Medicare Gain overall performance ranking.
WHAT It’s FOR
Devoted will use the dollars to assist its nationwide growth.
“We are pretty very pleased that other individuals understand and think in the value of our mission and model, and we are very significantly hunting ahead to making use of this capital to provide the Devoted Overall health practical experience to persons throughout the country,” Ed Park said.
In line with that objective, the corporation lately launched coverage in seven Chicago-area counties in Illinois. Individuals in Prepare dinner, DuPage, Kane, Kendall, McHenry, Lake and Will counties can now enroll in Devoted’s wellbeing plans for protection commencing in 2022.
Market place SNAPSHOT
Devoted has a heritage of scoring huge quantities of funding. For case in point, in 2018, it landed $300 million in its Sequence B elevate.
Insurtech providers are starting to be very common, primarily in the Medicare Advantage room. Other notables include Vibrant Overall health, Clover Wellbeing and Oscar Well being, all of which not long ago went general public.