Medical technology startup Latitude Health Inc., which likes to be known as Pearl Health, said today it has closed on an oversubscribed $75 million funding round, bringing its total amount raised to date to more than $100 million.
Today’s Series B round was led by Andreessen Horowitz’s Growth Fund and Viking Global Investors, and saw participation from AlleyCorp, SV Angel’s Growth Fund and other investors. It comprises $55 million in equity capital and an anticipated $20 million line of credit.
Pearl Health is a medical tech provider that aims to help independent physician practices take part in value-based care models. It works by leveraging data science to help primary care providers focus on those patients who are driving expenses and need the most care.
The company said its aim is to make it simpler for physicians to shift from a traditional payment model, where they’re compensated for delivering services, to a new model that sees them paid based on outcomes and managing the total cost of care. To do this, Pearl Health’s platform collects data from multiple sources, including hospitals, health plans and pharmacies. Then, it synthesizes this data and delivers it to physicians, highlighting which patients need attention soonest and creating an action plan to provide preventative, personalized treatment.
The data is broken down into easy-to-digest chunks that physicians can understand, with data visualizations and recommendations that show which patients might need extra support – for instance, those with multiple chronic conditions, or someone recently discharged from a hospital.
Pearl Health Chief Executive Michael Kopko told MedCity News that the company’s software highlights patients who are driving expenses and have extreme conditions. After that, he added, “we integrate it into a population and panel view that helps our physicians prioritize patients that are sick and chronic. It helps get their medical experience as well as their costs under control.”
The platform also helps to distill patient information into reports that are easier to digest, tracking key metrics such as readmission rates and their attendance at annual wellness visits.
Pearl Health went live with its platform last year, starting off with 75 physicians at 25 practices, with 4,000 Medicare patients on its books. Since then, it has grown to encompass 804 physicians at 120 practices in 29 U.S. states. It now counts more than 43,000 Medicare-covered patients on its books.
Today’s funding round is designed to help Pearl Health maintain that growth. “This latest round of funding, combined with our previous investments, will allow us to expand our network and accelerate the development of innovative solutions that place providers at the center of healthcare delivery and cost management,” Kopko said.
Andreessen Horowitz Managing Partner Scott Kupor said Pearl Health has done a great job building software that helps medical providers achieve their goals around value-based care. “This new round of funding will help it significantly expand its market presence and bring its solution to a much wider audience,” he added.
Image: Pearl Health
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