US venture capital firm Norwest Venture Partners has led a $33m Series B financing round for Health Catalyst, a company that specialises in healthcare data warehousing, with participation from Sequoia Capital and Sorenson Capital.
The Health Catalyst platform enables hospitals and health systems to better manage the coming cuts in Medicare and Medicaid rates, and more easily shift to managing patient populations under new care models, the companies said in a statement released today.
The business has more than doubled in size in each of the past three years while expanding its product line from eight stand-alone solutions to a platform of over 40 integrated products.
The company’s healthcare-specific data warehousing platform is used in the care of more than 20 million patients, including at Allina Health, Indiana University Health, MultiCare Health System, North Memorial Health Care, Providence Health & Services, Stanford Hospital and Clinics, and Texas Children’s Hospital.
As part of this Series B investment, Promod Haque, managing partner at Norwest Venture Partners, will join the board of Health Catalyst, with Fraser Bullock, co-founder and managing director of Sorenson Capital, participating as a board observer.
“Almost every hospital and hospital system will need a data warehouse to organize, visualise and utilise its data to address the $750bn of waste in the US healthcare system,” said Haque.
“Health Catalyst not only offers a best-in-class solution to meet this growing need, but it boasts a stellar list of referenceable customers with quantifiable results and a pipeline of health systems that are demanding the company’s solutions.
“The management team collectively brings more than 340 years of successful healthcare data warehouse experience to the table and has done a stellar job building an outstanding company and technology platform.”
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