After healthcare navigation firm Transcarent introduced final week that it had raised $126 million in Collection D funding, CEO Glen Tullman instructed MedCity Information he has “no curiosity” in promoting the corporate. Nonetheless, an preliminary public providing (IPO) – the place a personal firm sells shares to the general public – is a chance, he stated.

“I've run 4 publicly traded firms and been by three IPOs, so it's a query I get requested typically,” he stated in an e mail. “At this time we function Transcarent as a publicly traded firm, and we now have a powerful management group in place ought to we select to go public in some unspecified time in the future sooner or later. … I can say with confidence that there are nice choices forward of us, and that we’ll make any exit selections for the best causes. The 4 publicly traded firms have been CCC Data Methods, Livongo, Allscripts and Enterprise Methods (with the latter three present process preliminary public choices).

San Francisco-based Transcarent primarily serves self-insured employers and provides companies in routine well being care, pharmacy, behavioral well being, surgical procedure and oncology. The $126 million in Collection D financing was led by Common Catalyst and 7wireVentures and included participation from new buyers Geodesic Capital and Memorial Hermann Well being System. Earlier buyers additionally participated, together with Threshold Ventures, Kinnevik, Ally Bridge Group, Human Capital, Merck World Well being Innovation Fund, Alta Companions and Leaps by Bayer. In complete, the corporate has raised roughly $450 million and has a valuation of $2.2 billion.

Common Catalyst invested in Transcarent due to its technological developments.

“Our continued assist of Transcarent is pushed by their expertise, in what we imagine is an unparalleled integration of software program, AI, strong information science and customised well being steerage,” stated Hemant Taneja, CEO and managing director of Common Catalyst, in a press release. . “This mixture has led to actual adjustments within the supply of healthcare and care, aligned with our elementary mission: empowering tens of millions of individuals to navigate the complexities of the healthcare system and obtain higher well being outcomes.”

With the funding, Transcarent will “double down” on its AI investments, Tullman stated. This builds on the corporate's current acquisition of 98point6's AI-powered digital care platform.

“Transcarent is already integrating AI into each doctor and member experiences, however we’ll proceed to leverage AI in extra use circumstances to proceed to empower particular person well being customers and enhance effectivity for physicians,” he stated.

He added that the financing will assist industrial progress and appeal to new prospects.

The Collection D funding spherical comes at a time when many employers are scuffling with point-solution fatigue, and plenty of current digital options are going through monetary challenges. This reveals the necessity for a platform that provides a number of companies underneath one roof, Tullman stated.

“There is no such thing as a doubt that buyers and employers are experiencing point-solution fatigue, and they’re on the lookout for one place to entry all their well being and care advantages. Everybody is aware of that healthcare prices have to be decreased, so the incentives have to be aligned. offering and paying for care,” Tullman stated.

Transcarent has made a collection of bulletins up to now 12 months, together with partnerships with musculoskeletal firm ViewFi and ten well being care techniques, comparable to Mount Sinai Well being System and Mass Common Brigham.

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