CirrusMD Closes $7 Million Series A Funding
Investment Will Support the Expansion of an Innovative Text-First Virtual Care Model
DENVER, Colo. – June 20, 2017 -- CirrusMD, which offers a text-first approach to telemedicine for large health systems and insurers, today announced the closing of a $7 million Series A financing led by Colorado Impact Fund, joined by Bootstrap Incubation, Three Leaf Ventures, Rockies Venture Fund, Service Provider Capital, Sand Hill Angels, and New York Angels.
The Denver-based company specializes in working with large health systems, integrated delivery networks, and health plans, particularly those focused on value-based care models. It will utilize the funds to support the high market demand for its offering through expansion of sales and marketing, increased investment in customer support, and continued innovation of its platform and data analytics.
“Five years ago, we set out to execute on the vision of my co-founder, Dr. Blake McKinney, to provide patients with instant, ongoing access to in-system doctors through secure text messaging. Our approach is proven to significantly lower total cost of care,” said Andrew Altorfer, CEO and co-founder of CirrusMD. “We are pleased with the support of our investors at this critical inflection point in telemedicine. Health systems and payers are looking for virtual-care solutions that effectively engage patients and integrate provider workflows. CirrusMD is primed for rapid growth due to our ability to deliver value for our partners.”
Currently, 1.3 million patients have access to the platform, representing 850 percent growth over last year. CirrusMD is taking advantage of a movement towards more care being delivered outside of the hospital and patients’ growing comfort with virtual care offerings. According to a recent report by Mordor Intelligence, the telemedicine market is expected to reach $67 billion by the year 2021.
“The Colorado Impact Fund is proud to select CirrusMD as our first investment in the expanding digital health landscape in Colorado,” said Ryan Kirkpatrick, Partner of the Colorado Impact Fund. “CirrusMD’s virtual care platform lowers the cost of delivering health care while simultaneously increasing access to quality care in Colorado and beyond, both key criteria of our impact strategy in the industry. The founders, Andy Altorfer and Dr. Blake McKinney, have developed a differentiated platform that can scale rapidly and deliver value to all stakeholders of the healthcare system.”
About CirrusMD, Inc.
Founded in 2012, CirrusMD develops virtual care solutions for value-based healthcare organizations. Our technology allows patients to access convenient, timely medical care with local physicians in the same way that doctors address concerns for their friends and family – through text and video chat. The company currently provides telemedicine services to over one million covered lives. Learn more about CirrusMD on our website: www.cirrusmd.com.
Additional Quotes from Investors
“We consider a high volume of digital health investments and prioritize telehealth companies with the true potential to transform the impaired healthcare landscape,” said Kiki Broe, partner, Three Leaf Ventures. “CirrusMD focuses on value-based care and stands out for its ability to deliver real ROI. As a Colorado based firm, we are always looking for homegrown investments, and CirrusMD’s health texting technology is a prime example of innovation in our backyard."
“CirrusMD and its partners deliver telemedicine without transaction costs to patients. The text-first technology and business model result in patients using the system at dramatically higher rates, priming the pump for long-term, lasting cost savings for healthcare providers and payers. I feel fortunate to have found such a great team with an innovative product,” said Kyle Williams, president of Bootstrap Incubation.
“I’m pleased to be a board member for an organization with a solid leadership team and great traction that is changing the healthcare experience, one consumer at a time,” said Ryan Kennedy, CirrusMD board member and member of Sand Hill Angels.
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Alicia V. Nieva-Woodgate, ANW Networks, +1 415.515.0866, email@example.com