Grand Rounds, a company that works with consumers and employers to match patients with specialist doctors and helps provide second opinions, has raised $55 million in third round funding from a new, undisclosed global mutual fund investor as well as existing investors Greylock, Venrock, Harrison Metal and David Ebersman.
This round brings Grand Rounds' total funding to $106 million. The company plans to use the funds to build out its technology, care team and analytics platform in response to increased employer demand.
"Whether and where we receive medical treatment are critical decisions, yet patients lack adequate support in navigating these choices," Owen Tripp, co-founder and chief executive officer of Grand Rounds, said in a statement. "We provide patients the technology and information they need to make informed health care decisions, and comprehensive support from a physician-led care team. In an era of payer/provider consolidation, consumer-directed health plans and narrow networks, we empower patients and remove barriers to their care."
Grand Rounds provides a software platform that's designed to help ensure patients are getting the best care they can get in different situations. So, for urgent care, the app helps users find the highest-rated physician in their area that's also in their insurance network. For more serious conditions, customers can use Grand Rounds to get a virtual second opinion, which might help them avoid unnecessary treatments or surgeries. Users are matched to experts using their medical records and analytic software.
This value proposition extends to employers too, who can pay for Grand Rounds for all their employees with the promise that better diagnostics and treatment plans will ultimately save money for the patient, and, therefore, their employer-funded health plan.
Grand Rounds changed its name from ConsultingMD after it raised its first $10 million from Venrock in 2013. The company raised another $40 million last June, with Greylock leading the round, and announced at the time that 1 million patients were using its services. Last month, former HHS Secretary Kathleen Sebelius joined the company's board of directors.
"I see in Grand Rounds the potential to transform healthcare delivery in the United States," Sebelius said in a statement at the time. "One goal must be getting the right care to the right patient each and every time, in part by giving consumers direct access -- both in-person and virtually -- to the brightest minds in US medicine. Through its partnerships with leading employers, Grand Rounds demonstrates that when it comes to health care, exceptional and economical are not opposed objectives."