The founders previously ran
Athenahealth, a health care practice management services provider.
By Blake Dodge | October 16, 2018
at 06:45 PM
A group of former Obama White House officials
and executives from health-technology company Athenahealth Inc. will begin
selling private health insurance to U.S. senior citizens, backed by $360
million in venture capital funding.
The company, called Devoted Health, will sell
Medicare Advantage plans in Florida and wants to expand its offerings
nationally.
The company was founded last year by Chairman
Todd Park and his brother, Ed Park, and is based in Waltham, Massachusetts.
Todd Park co-founded Athenahealth and later
served as the chief technology officer of the United States for former
President Barack Obama.
Ed Park was an executive officer at
Athenahealth for more than 20 years. He started out as Athenahealth’s chief
technology officer and later was the chief operating officer.
Devoted Health’s head of technology, DJ Patil,
previously was the chief data scientist for the United States during the Obama
administration. From 2008 through 2011, he was the head of data products and
chief security officer at LinkedIn.
Devoted Health plans to offer seniors what it
says is simpler and better-coordinated health care using technology the
founders have built from scratch. Devoted Health will offer a 24-hour call
center, home-visits and automated care pings that alert a senior’s family
doctor when something goes wrong. The company has also built its own claims
processing service.
Patil said that doctors who partner with
Devoted Health will share in the cost savings from keeping patients healthy,
and that underperforming doctors will be removed from the network.
Patil said that parents of a handful of
employees are already signing up.
“I’ll be honest, it’s awesomely terrifying,”
Patil said.
Funding
Devoted Health raised $62 million from
investors last year. The group of investors that participated in the first
round included Venrock and F-Prime Inc.
Results of a second, $300 million round of
venture capital funding were announced today. Andreessen Horowitz led the
second round of funding.
Bryan Roberts, a partner at Venrock, is on
Devoted Health’s board, and Bob Kocher, another Venrock partner, is the
company’s chief medical officer.
Vijay Pande, the head of investments in
biology and computer science companies at Andreessen Horowitz, will also have a
seat on the Devoted Health board.
Devoted Health declined to comment on the
company’s valuation after the latest round of fundraising. The company’s early
funding, a $7.4 million seed round in the second quarter of 2017, came from the
Park brothers and Venrock.
Copyright 2018 Bloomberg. All rights reserved.
This material may not be published, broadcast, rewritten, or redistributed.
No comments:
Post a Comment