A new venture capital analysis spotlights companies and sectors to watch.
Valentine’s Day was especially lovely for HeartFlow, a California-based start-up bent on transforming heart disease diagnoses and treatments. The holiday, after all, was when the organization announced the closing of its $240 million Series E financing round, a boon if there ever was one. But the extraordinary amount of money flowing through the health-tech space did not end there.
The market tracking firm StartUp Health released a report yesterday on deals and funding in health-tech throughout the first quarter of 2018. Although HeartFlow’s cash injection crowned the list, its peers raked in impressive sums as well. In fact, every fundraising effort on the top 10 rundown landed at least $50 million, according to the report.
The total amount raised—nearly $2.9 billion—matched that seen in the first quarter of 2017, according to the analysis. Notably, however, this year’s jumpstart included an additional 60 deals in the health-tech sector.
“As each quarter continues to break records, we are seeing new trends and a more complex market beginning to emerge,” the folks at StartUp Health wrote in a blog post announcing the report. “With this increase in funding comes an entrance of new digital health start-ups and a wave of more specific and more targeted market solutions.”
So, who got the most money so far in 2018? And what do these ambitious companies aim to do with it? Here, we explore the 4 biggest winners and provide a snapshot of the rest.
HeartFlow. $240 million. Clinical workflow.
Preparing to beef up commercial efforts behind its precision 3D modeling, this outfit earned support from Wellington Management, Baillie Gifford & Company, and return investors. HeartFlow also plans to use the money further drive its technological innovation and clinical studies.
Helix. $200 million. Biometric data acquisition.
This personal genomics company locked down its Series B financing in early March, a boost that is slated to help grow its “online store for DNA-powered products,” according to the announcement. Helix aims to democratize access to DNA for developers—and consumers, by placing management tools and other next-generation sequencing tech at their fingertips.
Oscar. $165 million. Insurance.
If you take the New York City subway, you undoubtedly have seen Oscar’s advertisements. The health insurer for the age of tech aspires to “use data science and technology to proactively guide” customers to “the best and most affordable doctors.” Its $165 million funding round will help Oscar expand its business on several levels—including by entering new cities and lowering prices.
PointClickCare. $146 million. Administrative workflow.
On the final day of February, Dragonner Investment Group broke the news that it had bought $146 million in existing shares of this cloud-based software platform developer. Operating in the long-term and post-acute care market, PointClickCare broke the $200 million revenue mark last year.
VillageMD. $80 million. Population health.
Tempus. $80 million. Research.
PGD. $75 million. Biometric data acquisition.
Genetron Health. $61 million. Personalized health.
Bind. $60 million. Insurance.
American Well. $59 million. Patient empowerment.
Get the best insights in healthcare analytics directly to your inbox.