AristaMD completed a $24 million Series B financing round today with additional investments from Ascension Ventures and .406 Ventures.
The new investments follow what was previously an $18 million round, co-led by Cigna Ventures and MemorialCare Innovation Fund (MCIF) and with participation from Avalon Ventures, CU Healthcare Innovation Fund and Stanford Health Care.
WHAT THEY DO
AristaMD developed an e-consult platform where PCPs can virtually connect with either specialists within their health system or those provided by AristaMD’s panel of board-certified specialists. The platform also provides PCPs with clinical workup checklists to help guide their decision-making.
The system is designed to increase access to appropriate and timely care while improving outcomes and reducing costs, according to the company.
WHAT IT’S FOR
These investments will be used by AristaMD to grow its platform into new health systems across the U.S.
“With its innovative solution and industry-leading team, AristaMD is positioned to make a considerable improvement in the way health care is delivered,” John Kuelper, managing director of Ascension Ventures, said in a statement. “AristaMD has built a highly scalable solution that continues to deliver tangible ROI for health systems and payors, and improves the level of care for all patients.”
THE MARKET SNAPSHOT
RubiconMD is a major competitor in the e-consult space with an app where PCPs can upload images or type in their questions and it will route the query to an appropriate expert. The company raked in $18 million in a Series C funding round this March.
These types of consultations reduce the need for face-to-face visits with care specialists, which is vital now in a pandemic. A study from the National Center for Biotechnology Information concluded that the use of e-consults can “help to conserve PPE, limit exposures bidirectionally, could allow for a centralized consult workforce to service multiple hospitals, and facilitate rapid triage and disposition of non-COVID-19 emergencies during this crisis.”
They also are popular among patients, according to a study from Annals of Family Medicine. The study found that when used by a trusted PCP, patients “expressed strong support” for the service.
ON THE RECORD
“Delivering more timely care to patients has become even more crucial during the COVID-19 pandemic and will remain important in the future, as we must reserve precious in-person specialty appointments for those who critically need them,” Brooke LeVasseur, CEO of AristaMD, said in a statement. “This additional funding will help us accelerate our vision and contribute to shaping a world where all patients have timely, cost-effective access to health care.”