Healthcare real-time location systems (RTLS) provider Awarepoint has received $14 million in private investments from several venture funds, including $7.5 million from Heritage Healthcare Innovation Fund, the San Diego-based vendor announced Monday. This is the first investment from the $157 million Heritage fund, according to Awarepoint, and the seventh round of venture funding for the company, building on a $27 million round disclosed last August.
The Heritage Healthcare Innovation Fund, run by Nashville, Tenn.-based Heritage Group, is backed by some of the biggest names in healthcare, including provider networks Trinity Health, Memorial Hermann Healthcare System, Vanguard Health Systems, LifePoint Hospitals, Community Health Systems and Iowa Health. Other partners include hospital supplier and IT vendor Cardinal Health, home health provider Amedisys and not-for-profit Blue Cross and Blue Shield operator Health Care Service Corp.
The other $6.5 million came from existing Awarepoint investors, namely Cardinal Partners—no relation to Cardinal Health—Kleiner Perkins Caufield & Byers, Venrock, Jafco Ventures, Avalon Ventures, New Leaf Venture Partners and Top Tier Capital Partners. Many are familiar to mobile healthcare and health IT industry watchers.
"Our selection as the Heritage Fund's initial investment and the continued support of our current world-class investor group is a tremendous vote of confidence," Awarepoint CEO Jay Deady said in a statement. "This strategic funding will fuel our continued growth with high-volume, high-velocity clients, including Kaiser [Permanente], BannerHealth and other top U.S. health systems, as well as drive additional market growth opportunities."
Awarepoint representatives were not available for further comment. The company did say in the statement Awarepoint now counts 186 hospitals as clients and has contracted for nearly 300,000 RTLS tags to track assets, patients and staff and monitor compliance with hand-washing and other protocols at those facilities.
"The RTLS market is growing rapidly and Awarepoint's leadership position, unique technology and integrated solutions set it apart," added Heritage Group Managing Director Paul Wallace.
Though this is the first investment from the Heritage Healthcare Innovation Fund—which also has put money into health data-mining firm Explorys—has previously invested in the mHealth arena, specifically Shareable Ink.