Digital infrastructure startup Medallion has raised $ 30 million from investors including the venture capital arm of the UnitedHealth Group and key figures from Cityblock, Oscar Health and Roivant Sciences. announced Wednesday.
Medallion, which offers services that automate clinician licensing and network compliance tasks for digital health firms, adds that new Series B money to its $ 20 million previously raised has been raised since its founding in 2019. The San Francisco-based company is valued at $ 200 million. CEO Derek Lo said.
Investors in the latest round include Oscar Health CEO Mario Schlosser, Cityblock Health CEO Oia Romm and Stripe Chief Product Officer Will Geybrick. Optum Ventures UnitedHealth Group, which participated in the Series A round, made additional investments during Series B. Sequoia Capital is the lead investor in the final round, and partner Andrew Reid will serve on Medallion’s board of directors. Previous investors included executives from GitHub and Segment, as well as former San Francisco 49ers quarterback Joe Montana.
“The largest [return on investment] “It’s not speed, it’s an understanding of how to effectively carry out all these processes,” Lo said. “This allows our clients to get to market more predictably and reliably, and can have a return on investment of millions of dollars. Because if you delay the launch of a program or a new market even for a month, it can literally lead to the loss of millions of dollars in revenue. “
Medallion was born out of the ongoing telemedicine boom. Telemedicine companies raised $ 6.6 billion in funding in the first three quarters of this year, according to Modern Healthcare. Digital business and healthcare technologies.
The company emerged in time for the COVID-19 pandemic to make digital medicine more widespread. Over the past year, Medallion’s customer base has quadrupled to nearly 100, including startups such as Firefly Health, Carbon Health and Ginger. Luo said the company’s revenue increased fivefold. Medallion plans to triple its revenue in 2022, he said.
Medallion is now seeking to expand beyond digital healthcare to traditional payers and healthcare providers, promoting itself as an information management platform. “Every healthcare provider who wants to see life insured must be online with insurance payers, which is the vast majority of doctors in the entire country.”
Infrastructure startups focused on optimizing the insurance industry are increasingly using digital health services.
MVP Health Care invested an undisclosed amount in October to launch Belong Health, a “specialist company” that has entered the market to help regional payers offer Medicare Advantage and Special Needs plans.
Digital health startup nirvanaHealth last month launched Aria Medicare, a cloud-based platform designed to serve as a one-stop-shop for health insurance plans wishing to participate in the fast-growing and lucrative privatized government program for the elderly. Aria Medicare bills itself as “Medicare Advantage-in-a-box” and operates in the Amazon cloud.
Firefly Health announced ib October that it is transforming its virtual primary care provider services into a digital healthcare plan for small and medium-sized employers looking to bypass traditional insurance.