Fast-growing care coordination startup Grand Rounds has sold several large companies on its healthcare assistant program, which helps employees navigate their benefits and find in-network providers. The startup says it works with more than 130 large, self-insured companies, including retailers like Walmart and The Home Depot.
Now, with $175 million in new funding, Grand Rounds plans to build out its clinical navigation and virtual primary care services. Washington D.C.-based private equity firm The Carlyle Group, which invested in One Medical, led the recent funding round.
“Healthcare navigation, in particular, is playing a pivotal role in addressing every facet of an individual’s healthcare journey, at scale, by increasing access to high-quality care while reducing overall costs,” Robert Schmidt, a principal at the firm, said in a news release. “We are excited to support Owen and his team at Grand Rounds, given their impressive track record of improving patient outcomes, as they build, grow and seek to improve the quality of healthcare for everyone, everywhere.”
Grand Rounds started in 2011 by offering virtual consultations with specialists for patients seeking a second opinion. Since then, the startup has expanded into more care coordination services, using algorithms to match employees with in-network providers and health services.
Grand Rounds has some competition in that space. Accolade, another startup that helps patients navigate their benefits, went public earlier this year for $220 million.
More recently, Grand Rounds has added more telehealth services to its platform. The company says physicians can see members’ plan and coverage information, allowing them to develop better care plans.
“We are at a turning point in American healthcare, a moment when healthcare has become virtual-first and data can be used to dramatically improve outcomes,” Grand Rounds Co-Founder and CEO Own Tripp said in a news release. “This financing from a premier investment group with a long history of success in healthcare will deepen our ability to scale and provide the highest quality care and outcomes for our members.”
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