BOSTON– AcuityMD today announced $45 million in new funding to expand its commercial intelligence platform and advance the company’s mission of accelerating adoption of cutting-edge medical technology (MedTech). The Series B round was led by ICONIQ Growth, with additional participation from Boston-based Atreides Management and New York-based Stepstone Group as well as existing investors Redpoint Ventures, Benchmark Capital, and Artisanal Ventures. To date, AcuityMD has raised more than $83 million and achieved a significant 10x increase in annual recurring revenue since its 2022 Series A raise.
ICONIQ Growth has been the leading investor in the Forbes Cloud 100 since its inception, investing in companies such as Snowflake, Datadog, and GitLab, as well as leading vertical software companies including Procore, ServiceTitan, Benchling, QGenda, and Komodo Health. The company also has a healthcare advisory council that includes top executives from Johnson & Johnson, Stanford Healthcare, and Cleveland Clinic.
“AcuityMD is a market leader in commercial MedTech software with powerful data and prospecting insights that have elicited positive feedback from customers,” said Tengbo Li, Partner at ICONIQ Growth. “AcuityMD’s innovative platform is reminiscent of other transformative, vertical-specific platforms that we have supported. We believe that there are also exciting opportunities to extend into other product areas and expand the value proposition, and ultimately for MedTech companies to use AcuityMD as their complete commercial operating system.”
Notably, four AcuityMD investors are former MedTech CEOs, including Bill Hawkins, former CEO of Medtronic. “I’m acutely aware of the unique challenges MedTech companies face when bringing products to market,” said Hawkins. “AcuityMD has built an industry-specific platform that alleviates common pain points to help bring new treatments to patients faster. I am thrilled to be partnering with AcuityMD as it enters its next phase of growth.”
Since its founding in 2019, AcuityMD has experienced rapid growth, now supporting more than 200 MedTech manufacturers – including six of the top 10 – with its commercial intelligence platform. AcuityMD is also ranked in the top quartile of B2B software companies in customer retention and growth based on analysis from ICONIQ Growth’s “Topline Growth & Operational Efficiency” study.
AcuityMD’s commercial platform translates large volumes of healthcare data, such as physician procedural volumes, product preferences, sites of care affiliations, peer networks, and referral patterns into intuitive workflows and recommendations that align with the MedTech industry’s unique commercial process. It has resulted in more than 25% sales growth for top active sales reps and over $10 billion in opportunity pipeline created.
“We are fortunate to work with fantastic financial partners as well as experienced MedTech industry executives who broaden the perspective of our Customer Advisory Board,” said Michael Monovoukas, CEO and co-founder of AcuityMD. “With this additional capital, we aim to launch three new products to general availability, expand our pipeline management solution to more customers, and grow our engineering and product teams by 70% by the end of 2024 to support our mission of accelerating the adoption of cutting-edge medical technology.”
AcuityMD continues to grow even in a cooling market, where Series B deal sizes peaked in 2021 with $46M, followed by a steep decline that hit its lowest point of $30M average in Q4 2023. The average investment is slowly increasing again, with an average of $38.9M in January 2024 – still $5 million less than AcuityMD’s latest raise.
