Innovaccer Inc., a healthcare AI and software solutions company, has raised $275 million in a Series F funding round through primary and secondary investments. The round saw participation from prominent investors, including B Capital Group, Banner Health, Danaher Ventures LLC, Generation Investment Management, Kaiser Permanente, and M12 (Microsoft’s venture fund).
This funding comes after a three-year gap since Innovaccer last raised $150 million in its Series E round in December 2021. The Noida and San Francisco-based firm has now raised $675 million, with its current valuation exceeding $3.4 billion.
The newly raised capital will strengthen Innovaccer’s collaboration with existing clients, introduce advanced AI and cloud capabilities, and develop a robust developer ecosystem on its platform. Additionally, Innovaccer plans to expand its suite of offerings by integrating several new copilots and agents, targeting areas such as utilization management, prior authorization, clinical decision support, clinical documentation, care management, and contact centre services.
Transforming Healthcare Through Technology
Founded in 2014 by Abhinav Shashank and his team, Innovaccer is at the forefront of transforming healthcare delivery. Its comprehensive suite of solutions enables healthcare organizations to implement value-based care programs, enhance patient experiences, and reduce administrative burdens. The company has achieved significant recognition, including Best-in-KLAS awards in categories like data and analytics, population health management, and CRM.
Today, Innovaccer serves six of the top ten healthcare systems in the United States and has built strong public-sector partnerships with San Mateo County and Alameda County. Its platform supports over 130 healthcare organizations and has maintained 50% year-on-year revenue growth for the past five years.
Financial Performance and Strategic Growth
While the company has not disclosed its latest financials, it is targeting profitability by the first half of FY25. In India, Innovaccer reported revenue of Rs 397 crore and a profit of Rs 37 crore for FY23, though filings for FY24 are pending.
The firm’s growth strategy includes strategic acquisitions to enhance its capabilities. Over the past year, Innovaccer acquired two companies—Cured, a healthcare CRM platform, and Pharmacy Quality Solutions, a leading provider of performance measurement tools. These acquisitions align with Innovaccer’s mission to deliver holistic, data-driven solutions to its clients.
Future Outlook
Innovaccer’s latest funding round underscores its leadership in leveraging AI and cloud technologies to modernize healthcare. With this fresh capital, the company is poised to scale its offerings, deepen its impact on the global healthcare landscape, and further solidify its position as a trailblazer in the industry.
