Verato, a McLean, Virginia-based startup, has raked in $10 million in Series C financing. The round was led by existing investors Bessemer Venture Partners and Columbia Capital. Blue Heron Capital and California Health Care Foundation also took part.
The company will use the funding to accelerate the adoption of its patient matching technology.
Founded in 2012, Verato’s focus is on solving the problem around duplicate medical records, which can cause claims denials, increase patient safety issues and raise overall healthcare costs due to redundant testing and procedures.
The Virginia startup provides two cloud-based solutions (Verato Auto-Steward and Verato Universal MPI) that allow organizations to better match and link their patient data to the correct individual. Its clients include Northwell Health, UPMC, Intermountain Healthcare and the U.S. Department of Veterans Affairs. In 2018, Verato gained 20 new customers.
In a statement, CEO Mark LaRow said “[e]xisting patient matching technology has not changed for almost a decade and is the root of the duplicate record crisis that is drastically affecting care quality, patient safety and healthcare costs.” The latest investment will help Verato use its platform to solve this issue, he noted.
In 2017, the company raised a $12.5 million Series B round co-led by Bessemer Venture Partners and Columbia Capital. It planned to use the funds to grow its technology team, engineering team, delivery team and sales force.
Back in 2015, Verato (which was formerly known as Araxid) closed a $12.5 million Series A round, which was again jointly led by Bessemer Venture Partners and Columbia Capital.
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