Key Takeaways
- Redpoint Ventures raised $550.0M (Growth) from Redpoint Ventures, New Enterprise Associates (NEA), Town Hall Ventures.
- Sector: Healthcare Healthtech & Medtech.
Analysis
Value-based kidney care company, Strive Health, recently secured $550 million in Series D funding to further expand its innovative care model to more patients and providers. The firm currently handles nearly $5 billion of annual medical spend, and this funding will enable it to scale its operations to support an even greater number of patients and providers.
The funding round saw Strive Health raise $300 million in equity and secure $250 million in debt financing. New Enterprise Associates (NEA) led the equity funding, while additional investments were received from CVS Health Ventures, CapitalG, Echo Health Ventures, Town Hall Ventures and Redpoint. The debt financing was led by Hercules Capital. Several new institutional investors also participated in the round, including funds and accounts managed by affiliates of BlackRock, Inc.
Strive Health's approach to kidney disease emphasizes early intervention and preventative care. It has demonstrated meaningful impacts, including a 20% reduction in the total cost of kidney care, a 41% reduction in hospitalizations, and has achieved 94% overall patient satisfaction.
With the new funding, Strive plans to strengthen its strategic partnerships, grow its multi-specialty services, and enhance its value-based care model through advanced technology. This includes AI-driven tools and analytics, which will aid in delivering tailored kidney care solutions.
Chris Riopelle, Co-Founder and CEO of Strive, said that the continued investments from NEA and other leading financial institutions, along with valued tech and healthcare strategics, demonstrate that Strive is achieving its mission to transform kidney care. Since its founding, Strive has conducted over 1.3 million patient touchpoints and generated more than $400 million in savings for its health plan and provider partners.
Strive currently partners with more than 6,500 providers across all 50 states and manages nearly $5 billion of annual medical spend for over 145,000 people. It has launched or expanded relationships with many leading payor, health system and provider partners. Strive’s standard of excellence is achieved through high-touch, preventative care and AI solutions that generate reductions in total cost of care and improved clinical outcomes.
Mohamad Makhzoumi, Co-CEO of NEA, believes that clinician-led healthcare solutions with meaningful scale are where AI implementations will have the most impact when it comes to improving outcomes for chronic disease management and preventive care.