Atlanta-based startup Oncology Analytics has raised a $21 million Series B financing round from investors including Oak HC/FT, McKesson Ventures and Blue Cross Blue Shield Venture Partners.
Oncology Analytics is a benefits management company that has developed a prior authorization platform that is continuously updated with new cancer treatment protocols including chemotherapy, radiation therapy, precision medicine, targeted therapy and supportive care.
The financing news comes on the heels of the company moving its headquarters to Atlanta from Plantation, Florida as a way to accommodate its rapid growth and tap into the technical and clinical talent in the region.
Cancer benefits management has grown increasingly complex with the introduction of new effective, yet complicated and expensive treatments. According to a report from IMS Health Holdings, global cancer drug expenditures is expected to grow to more than $150 billion because of these new technologies and medications.
Oncology Analytics’ platform helps oncologists keep abreast of new research and findings of cancer treatments by providing access access to current, evidence-based, disease-specific analytics.
It also helps to determine which molecular test or tumor profiling for genetic medicine is appropriate for a patient’s condition and more affordable and therefore more likely to be reimbursed by health plans.
The new funding will be dedicated to expanding its oncology benefits management capabilities and invest in increased data science and data analytics capabilities. Along with the new funding round Anne Lamont and Ezekiel Emanual from Oak HC/FT will be joining the company’s board.
“Overutilization of health care is crippling the U.S. health system and too many cancer patients are not getting the optimal treatment for their disease,” Emanuel said in a statement.
“Improved outcomes are possible when treatment options are tailored to a patient’s specific cancer genetic profile. Getting the best treatment to patients is at the heart of Oncology Analytics strategy and is deeply aligned to the future of cancer care.”
Initially founded in 2009 the company has signed up major health plans as customers including Humana and HealthPartners. Currently the company’s technology is used by physicians to support more than 3.5 million health plan members across the United States.
Rick Dean joined the company as its CEO last year and was previously at Optum where he was a founding member of Optum Ventures.
“We are honored to partner with this dynamic group of healthcare investors with a proven track record of success,” Dean said in a statement.
“This strategically chosen team recognizes the need for a paradigm shift in the use of data, analytics and evidence-based medicine to dramatically impact patient access and options for cancer treatment.”
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