NEWTON, Mass.– Hospital IQ, the leading provider of predictive hospital operations and communications software, secured $25 million in Series C funding led by Baxter Ventures, the venture investment arm of Baxter International Inc. (NYSE: BAX), and Health Velocity Capital, joining existing investors Pierpoint Capital and Allscripts. The investment comes amid a year of unprecedented company growth as its AI-enabled operations management platform solved operational inefficiencies, many of which were exacerbated by the pandemic, for hundreds of hospitals and health systems.
Hospital IQ will use the funding to accelerate growth across all areas of the company, including product development, sales and marketing, and client services, and to spur further collaboration with its existing Allscripts and Cerner partnerships, as well as support new partnerships. The company also will hire more talent across all business units, and expects to grow the team by 50% by year’s end and by 100% in the next 12 months. This rapid acceleration of growth comes after a record year for the company, during which Hospital IQ’s revenue more than doubled, its customer base grew by 50%, and utilization of the platform increased 14x, a clear indication of the value of Hospital IQ’s solutions.
“We’ve worked hard to develop a solution that arms healthcare workers with the insight and foresight needed to get the most out of limited resources and maximize patient access,” said Rich Krueger, CEO, Hospital IQ. “In this post-COVID era, providers are committed to digital transformation to meet today’s changing demands. Our platform has proven to be unmatched in its depth, adaptability and ability to drive quantifiable operational improvements for our customers and their patients. We’re excited to scale our operations alongside industry demand and enable more health systems to optimize their performance while providing high-quality care as we advance healthcare’s digital age.”
Over the past decade, Hospital IQ has pioneered a movement urging health systems to rethink how operational excellence is achieved, proving that the utilization of predictive analytics, workflows and communications is the combination that enables sustainable improvements in efficiency and access. The company’s operations management platform has become the industry standard among U.S. providers — spurring a new category in health IT focused on capacity operations management, automation, and optimization as more providers recognize that this is the path to effective, smarter healthcare.
“The need to invest in care quality, patient access and cost containment has never been greater,” said Jessica Hameline, Vice President, Digital Transformation at Baxter International. “We are proud to support Hospital IQ’s continued commitment to address this imperative with smart solutions that empower providers and enable health systems to operate optimally, all of which leads to better outcomes for patients.”
“Health Velocity Capital is committed to investing in leading healthcare software and services companies that are working to drive down the cost of healthcare, create a better patient experience and build a more sustainable healthcare system,” said Bruce Crosby, Managing Partner at Health Velocity Capital. “Hospital IQ’s software addresses a hospital’s highest costs – staffing and patient throughput, allowing hospitals to operate more efficiently. Hospital IQ has a very experienced and talented team leading the company, and we look forward to partnering with them to meet the market’s demand for its solutions.”
