Health IT, Startups

Health IT startup HealthVerity’s $7.1M fundraise to glean insights from clinical data

Flare Capital Partners and Greycroft Partners led the Series A with participation from strategic healthcare investors.

9990016123_29d261209d_zA health IT startup in stealth mode has closed a $7.1 million Series A round to support its development of privacy and clinical data technologies, according to a company statement. Its announcement is long on clues but short on specifics for what the company’s product actually is.

HealthVerity Co-founder and CEO Andrew Kress said in the statement that the healthcare industry is awash in clinical and transactional data, and suggested that the Philadelphia-based company would help unlock the true value of that data. The statement isn’t super specific, but the order of importance of its would-be customers could offer some clues: pharmaceutical companies, hospitals and payers. It also develops software that provides insights from their customers’ data supplier relationships. More details are expected to come to light this summer, according to a source familiar with the company.

Kress comes from IMS Health where he was healthcare value solution senior vice president. Andrew Goldberg, the COO, worked for networking software provider Dialogic, until Canadian private equity firm Novacap TMT acquired it in 2014.

Flare Capital Partners and Greycroft Partners led the Series A with participation from strategic healthcare investors. One of those strategic investors could be Veeva Systems, a health IT company that did an IPO in 2014 and provides support for pharma sales teams, given that its co-founder and president Matt Wallach is also joining the board.

Although the company does not claim to be about data analytics, it seems to sit pretty close to that segment of health IT. In 2020, the healthcare data analytics market is projected to be worth more than $18 billion, compared with $5.8 billion in 2015.

Photo: Flickr user r2hox

Shares0
Shares0