Cascala Health Gets Funding to Scale Care Transition Platform

A startup called Cascala Health has received seed funding for its AI-based platform that integrates with web-based EHRs and population health platforms to accelerate decision-making across care transitions, chronic disease management and value-based care programs.

Boston-based Cascala has received $8.6 million in a seed financing round co‑led by Flare Capital Partners and Eniac Ventures, with additional backing from Omega Healthcare Investors, Ziegler Link-age Fund, Tau Ventures, and Digital Health Venture Partners, bringing Cascala's total funding to $11.23 million since its launch in mid 2024.

The company says it is working to tackle significant care transition and post-acute care staffing gaps that cost the healthcare system billions annually while compromising patient outcomes.

"This financing marks a pivotal milestone for Cascala," said Matt Murphy, CEO and co-founder of the company,” in a statement. "With the combined backing of leading institutional investors – and new strategic partners Ziegler Link-age Fund and Omega Healthcare – we will accelerate our delivery of clinically responsible, real-time AI that empowers care teams and skilled nursing operators to close critical gaps, reduce avoidable readmissions and drive durable value across the post-acute continuum.”

Murphy previously served as executive vice president of clinical development at Cohere Health, which launched a digital prior authorization and care transformation platform. Before Cohere, he helped scale Circulation Health through Series A funding to its subsequent acquisition by ModivCare Inc. He began his career in healthcare at Boston Children’s Hospital, where he established the hospital’s first digital health accelerator program. 

Cascala Health was founded in early 2024 with seed funding from Redesign Health and Flare Capital Partners via its Flare Scholar Ventures pre-seed investment program.

Its solution embeds real-time insights directly into clinicians' existing workflows. Built around three pillars — Clarity for AI-driven data curation and summarization, Continuity for longitudinal patient views and dynamic risk scoring, and Copilot for in-workflow activation — Cascala  says its platform addresses a significant gap in post-acute care delivery.

Cascala's modular platform is built for skilled nursing, home health post-acute facility operators, as well as the larger care teams involved in delivering well-coordinated patient care.

Cascala said its care transitions platform already orchestrates care for more than 300,000 patients across thousands of post-acute transitions. The company says it extends into the larger patient care team, empowering more than 3,000 primary-care clinicians to actively engage in their patients' post-acute journey. 

With new backing from Ziegler Link-age Fund and Omega Healthcare – whose combined networks encompass roughly 970 skilled nursing and senior living facilities across 85 operators and connect to more than 160 senior care organizations, representing nearly one-third of U.S. SNF capacity – Cascala said it is well-positioned to expand its reach across the post-acute continuum.