Utah-based analytics company Health Catalyst has announced the closing of a Series F equity and debt funding that will provide the vendor up to $100 million in capital.
The funding round led is by OrbiMed, a healthcare public and private market investment firm. Several existing investors including Sequoia Capital, Norwest Venture Partners, Sands Capital Ventures, UPMC Enterprises and Kaiser Permanente Ventures also contributed to the financing, which lifts Health Catalyst’s value above $1 billion, according to company officials.
In a press release, company executives noted that proceeds from the financing “will support continued expansion of Health Catalyst’s technology and services offerings for healthcare transformation. The company is on a mission to unleash data as a catalyst for massive, sustained clinical, financial and operational improvements in the performance of healthcare organizations.”
In 2018, Health Catalyst experienced over 65-percent growth in its annual recurring revenue, over 50 percent growth in revenues, and over 80 percent growth in its gross profits. The company also added 16 new health system customers in 2018, more than in any previous year in the company’s 10-year history, officials pointed out.
To boot, Health Catalyst also added over 200 team members in 2018, to end the year with nearly 750 team members throughout the U.S. Also during the year, Health Catalyst’s customers realized over 250 documented clinical, financial and operational improvements, by far the most of any year in the company’s history.
“As more healthcare organizations are coming to understand, the future of healthcare will rely on the broad and more effective use of their vast stores of data,” Health Catalyst CEO Dan Burton said in a s statement. “This additional capital will enable us to continue developing the technology and expertise necessary to offer health systems a path to systematically use data to analyze their performance, and then work to make measurable improvement in clinical, financial and operational areas. It will also help to support our expansion, already underway, into the life sciences and international markets.”
