Healthmap Solutions, a kidney population health management company, has raised $100 million to expand its business.
The financing was led by funds managed by Healthmap’s largest investor, WindRose Health Investors, plus participation from other existing investors. The funding will provide the resources to serve new clients and boost Healthmap's balance sheet, helping support covered lives under capitation arrangements.
Healthmap, founded in 2016, serves payers and at-risk providers seeking value-based solutions for the high-risk, high-cost chronic kidney disease population. It is contracted to serve more than 160,000 people across commercial, Medicare and Medicaid and manages more than $3 billion in healthcare spend through risk-based arrangements.
"We believe that Healthmap has built a differentiated approach to managing chronic kidney disease,” Eric Reimer, Healthmap's CEO, said in a press release. “It is rewarding to see the market's enthusiasm for our program and the positive impact we are having on patients' lives."
The company has grown rapidly over the years, attributing the growth to its ability to improve care and lower costs. It does so by leveraging technology like predictive analytics and machine learning as well as its clinical expertise and provider-member interactions.
Healthmap aims to detect kidney disease early and recommend evidence-based interventions to delay or slow disease progression. Its care navigation team works with patients and providers across primary care and specialties to deliver personalized, whole-person care.
Healthmap’s business model is highly scalable, according to the company, and has allowed it to impact broad populations while demonstrating financial durability. The company expects to be profitable in 2023.
More than 1 in 7 adults, or 37 million Americans, are estimated to have chronic kidney disease. But as many as 9 in 10 do not know they have the condition. Meanwhile, treatment is likely to exceed $48 billion annually. Payers and health systems are looking for a kidney solution partner because of the scale of the problem, Healthmap executives have said in the past.
With the rising demand for cost-effective disease management in mind, kidney care tech and coordination companies have racked up plenty of outside investments in recent years.
Among these are Monogram Health, which earlier this year closed $375 million from industry mainstays like CVS Health, Cigna Ventures and Human. Somatus also raised over $325 million in February 2022 while Strive Health closed $166 million in 2022 and racked up a handful of industry partnerships in the time since.
Last summer also saw the $2.4 billion three-way merger of InterWell Health, Fresenius Health Partners and Cricket Health to form a value-based kidney care juggernaut operating under the InterWell brand name.