Health IT, Startups

Innovaccer valued at $3.2B in most recent fundraise

The company, which is building a cloud-based platform to help health systems pull health records together, recently closed a $150 million funding round. 

EHR, EMR, medical record

After raising a funding round earlier this year, health IT company Innovaccer has more than doubled its valuation. The company is now valued at $3.2 billion, up from $1.3 billion in February.

The company recently closed a $150 million series E round led by Mubadala Capital, Abu Dhabi’s sovereign investor. To date, it has raised a total of $375 million.

Innovaccer was founded in 2014. The San Francisco-based company is building a cloud platform to help health systems aggregate and normalize health records. It also supports the development of interoperable apps. Its goal has been to unlock the information stored in electronic record systems, which has historically been difficult to use.

“The electronic health record (EHR) brought healthcare into the digital world, but in many ways it has become an impediment to digital transformation due to its rigid architecture and lack of interoperability,” Innovaccer co-founder and CEO Abhinav Shashank said in a news release. “Providers, payers, and life sciences companies recognize the urgent need for a new, open platform that brings all healthcare data together to provide a singular view of the patient, and enables friction-free care across the entire patient journey.”

Mubadala Capital has been an investor in the company since 2019. Alaa Halawa, a partner at the firm and head of its U.S. ventures business, noted challenges faced by other tech companies in building a common data framework for healthcare.

Innovaccer claims it has at least 50 signed customers. Some of them include CommonSpirit Health, Adventist Health, Providence, One Medical and Roche. For example, Roche is using the company’s technology to build a range of clinical decision support tools, such as ones for antimicrobial stewardship and oncology.

The company plans to invest some of the funds into research and development, as well as new hires in customer experience, product and engineering.

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