DispatchHealth pulls in $200 million in new funding for in-home medical care
As people spend more time at home to stop the spread of the coronavirus, telehealth and in-home medical care are finally disrupting mainstream healthcare. Earlier today, we wrote about TytoCare, a mobile health platform that allows anyone to perform a self physical examination, and remote diagnosis.
Denver, Colorado-based DispatchHealth is another HealthTech startup that is building the world’s largest in-home care system in order to deliver trusted and compassionate care to all. DispatchHealth offers on-demand acute care and an advanced-level of medical care for people of all ages in the comfort of their own homes.
Yesterday, DispatchHealth announced it closed an additional $200 million in Series D financing, less than one year after closing a $135.8 million Series C round. The round was led by Tiger Global, with participation from previous investors including Alta Partners, Echo Health Ventures, Humana, Oak HC/FT, and Questa Capital funding the remainder of the round.
This latest investment brings the company’s total funding to more than $417 million and raises its valuation to $1.7 billion. DispatchHealth will use the funding to expand its platform for in-home medical care to a total of 100 markets and ensure its Advanced Care line of service is widely available in the United States.
Founded in 2013 by Kevin Riddleberger and Mark Prather and was formerly known as True North Health Navigation. DispatchHealth provides mobile and virtual healthcare for people of all ages in the comfort of their own homes. It also helps reduce unnecessary emergency room visits and hospitalizations, improve clinical outcomes, and decrease burdensome costs for the overall healthcare system.
Since its inception, DispatchHealth has pioneered the delivery of in-home care and at its current growth rate, will generate more than $2 billion in medical cost savings by 2023. The company has developed a platform that integrates an array of in-home care services, including on-demand, high-acuity care that substitutes an avoidable emergency room visit, 30-day episodes that substitute for a hospital stay, and a marketplace to coordinate ancillary services.
“We’ve created the most complete platform that solves all aspects of delivering health care to the home including clinical logistics, care coordination and the delivery of caring medical professionals, all while improving health outcomes and lowering costs,” said Dr. Mark Prather, CEO and co-founder of DispatchHealth. “We anticipate the care continuum to continue to move into the home and we expect our platform to enable the movement of that $140 billion marketplaces.”
The company’s model of in-home care, which aligns the payer, provider, and patient, has proven to be vital during the COVID-19 pandemic. Over the past year, patients and health systems increasingly looked for ways to avoid unnecessary exposure to the virus and receive medical care at home. Beyond the pandemic, DispatchHealth will continue to be valuable to a variety of partners including health systems, payers, delegated risk organizations, emergency medical services, and employer groups by offering convenient, safe, and lower-cost medical care.