August 23, 2018
Paladina Health, an innovative physician-access model of health care that improves patient care and satisfaction, today announced it has closed a $165 million growth equity funding round led by existing investor New Enterprise Associates (NEA), with participation from new investors Oak HC/FT, Alta Partners, Greenspring Associates and other strategic investors. The company plans to use the funding to further scale operations, grow the executive team, and expand within existing and new markets. In addition, Paladina Health will continue to enhance the quality of care delivered by investing in ground-breaking technology aimed to improve patient outcomes.
"Paladina Health continues to differentiate itself as a national leader in championing the Direct Primary Care model as a means to better health outcomes," said Mohamad Makhzoumi, General Partner and Head of Healthcare Services investing at NEA. "NEA had a front row seat witnessing Paladina's tremendous progress since their inception inside of DaVita in 2011 and we are thrilled to support the company's expansion as it meets patient needs by delivering excellent care while driving down costs."
Paladina Health is on a mission to transform primary care for patients, physicians and benefit sponsors of healthcare in the U.S — working to repair the fractured incentive structure between all parties involved. The company's model tackles head-on the main causes of poor quality and escalating costs in the healthcare system, including lack of physician access, care coordination, transparency into costs and quality of care.
"As pre-existing care and cost models continue to undergo universally beneficial change, Paladina Health is uniquely positioned to lead growth within the Direct Primary Care market," said Annie Lamont, Co-Founder & Managing Partner at Oak HC/FT. "We look forward to partnering with the Paladina Health team to support the company's continued expansion and its mission to deliver better patient care and satisfaction."
Paladina Health currently operates more than 50 physician offices in Colorado, Washington, Wisconsin, Ohio, North Carolina, South Carolina, Kentucky, New Jersey and Florida, with plans for continued expansion.
"The issues of high cost care and low patient satisfaction have plagued medicine for decades," says Dr. Pete Hudson, Managing Director of Alta Partners. "Paladina Health is not only striving to address these issues, the company has shown consistent, positive results. They are a critical part of the solution for the U.S. healthcare system, and we are excited to help them continue to scale."
"We are excited about our new partners and this additional funding as it will accelerate growth into new markets and help scale our operations across the country," said Chris Miller, Paladina Health's Chief Executive Officer. "As a national leader in Direct Primary Care, our focus continues to be on providing greater access to high-quality healthcare and delivering an exceptional patient experience. This drives better health outcomes for more people."
About Paladina Health
Paladina Health is a physician-access model of health care that improves patient care and satisfaction by providing convenient and unhurried patient-centered care and a broad scope of services. Employers who offer Paladina Health to their employees aim to provide the highest-quality benefits while keeping a long-range view of improving the health and wellness of their covered population. For more information, visit https://www.paladinahealth.com.
New Enterprise Associates, Inc. (NEA) is a global venture capital firm focused on helping entrepreneurs build transformational businesses across multiple stages, sectors and geographies. With more than $20 billion in cumulative committed capital since the firm's founding in 1977, NEA invests in technology and healthcare companies at all stages in a company's lifecycle, from seed stage through IPO. The firm's long track record of successful investing includes more than 220 portfolio company IPOs and more than 370 acquisitions. For additional information, visit www.nea.com
About Oak HC/FT
Founded in 2014, Oak HC/FT (http://oakhcft.com) is the premier venture growth-equity fund investing in Healthcare Information & Services ("HC") and Financial Services Technology ("FT"). With $1.1 billion in assets under management, we are focused on driving transformation in these industries by providing entrepreneurs and companies with strategic counsel, board-level participation, business plan execution and access to our extensive network of industry leaders. Oak HC/FT is headquartered in Greenwich, CT with offices in Boston and San Francisco. Follow Oak HC/FT on Twitter, LinkedIn and Medium.
About Alta Partners
Founded in 1996, Alta Partners is one of the nation's premier healthcare venture capital firms, investing in many of the industry's most successful companies. Alta has offices in San Francisco and Denver. For more information, please visit www.AltaPartners.com.
About Greenspring Associates
Greenspring Associates was founded in 2000 to focus solely on venture capital investments. Through a comprehensive platform, the Firm serves as a lifecycle partner for fund managers and entrepreneurs, investing across multiple stages, sectors and geographies. Greenspring Associates currently manages over $7.3 billion in committed capital across a variety of specialized venture strategies on behalf of a diverse group of global investors. For more information on Greenspring Associates, please visit its website at www.greenspringassociates.com.