Innovaccer Inc. announced a $150 million Series E round at a $3.2 billion valuation, driven by rapid customer adoption of the Innovaccer Health Cloud. The round was led by Mubadala Capital, with participation from existing investors B Capital Group, Microsoft’s M12 fund, OMERS Growth Equity, Dragoneer, Steadview Capital, Tiger Global Management, and new investors Whale Rock Capital Management, Avidity Partners, and Schonfeld Strategic Advisors. Innovaccer’s Series E round brings the total capital raised by the company to over $375 million.
At a time when healthcare organizations around the world are rapidly digitizing and transforming the way they deliver patient care, Innovaccer has embarked on a mission to connect and curate the world’s healthcare information to make it accessible and useful. Founded in 2014, Innovaccer has built the Innovaccer Health Cloud, a complete software platform used by leading healthcare organizations—including Orlando Health, MercyOne, and CommonSpirit Health—that unifies previously siloed data and helps them achieve better care quality at lower cost.
“We’ve reached a turning point in healthcare, where the world of fragmented, fee-for-service ‘sick care’ is giving way to a new world of integrated, value-based, preventive care,” said Abhinav Shashank, cofounder and CEO of Innovaccer. “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. 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. This is the future of health everyone wants, and this is exactly what we are building with the Innovaccer Health Cloud.”
“We have been investors in Innovaccer since 2019, and believe that the company has all the necessary pillars to define the new gold standard of how the Health Cloud should be implemented by providers, payers, and life sciences companies,” said Alaa Halawa, Partner and Head of the U.S. Ventures business at Mubadala Capital. “Hundreds of tech companies have tried to create a common data framework to connect the healthcare industry, but they all fell short due to extreme industry complexities or technology challenges. But in just a few short years, Innovaccer has built the most successful data activation platform in the healthcare industry as proven by record rates of industry adoption. Innovaccer is likely the first and only company since the invention of the EHR that has the opportunity to unify the healthcare ecosystem.”
Innovaccer achieves critical mass in the healthcare ecosystem
To date, Innovaccer has signed more than 50 customers, including recent wins with One Medical, Roche, CommonSpirit Health, Franciscan Health, Dayton Children’s Health Partners, St. Luke’s Health System, Sentara Healthcare, Adventist Health, Children’s Health Alliance, Premier Health, Atlantic Health System, Providence, Cityblock Health, Florence Health, and Zus Health, among others. Innovaccer’s ability to help its customers accelerate their transformation and innovation goals is at the core of its value proposition.
“Our collaboration with Innovaccer is creating a new generation of clinical decision support tools across a wide range of use cases—from antimicrobial stewardship to oncology—that will empower clinicians to deliver more precise, personalized care,” said Sukhveer Singh, Global Head of Healthcare Insights, Roche Information Solutions. “We see huge potential to create new value for patients and clinicians. The Innovaccer Health Cloud will allow us to accelerate time-to-market and build perpetual innovation into our solution portfolio, positioning Roche to extend our legacy of clinical innovation.”
Innovaccer plans to use its new funding to invest in R&D and recruit new hires as it rapidly scales its customer experience, product, and engineering talent. The company intends to release a new portfolio of Innovation Accelerators in 2022 that will help healthcare organizations tackle the most common and high-impact use cases in a fraction of the time associated with traditional methods and technologies.