AAA Aledade aligns with corporates to raise $100m

Aledade aligns with corporates to raise $100m

Aledade, a US-based primary healthcare practice network backed by internet and technology group Alphabet, closed a $100m series D round on Tuesday led by venture capital firm Meritech Capital Partners.

The round was also backed by Omers Growth Equity, the late-stage investment arm of pension fund manager Omers, in addition to hedge fund manager Tiger Global Management and VC firm IVP.

Founded in 2014, Aledade runs an association of 7,800 primary care practices spread across 31 US states that offers medical care it claims is top tier. Doctors can access medical insights and integrations with certain government-endorsed and private health plans through its app.

The company will put the funding into strengthening its network and business model, adding to its strategic partnerships and extending tools such as its telemedicine system. The round valued it at $2.2bn post-money, sources close to the deal told Business Insider.

Omers Growth Equity led a $64m series C round for Aledade that closed in April 2020 with commitments from Alphabet unit GV, professional body California Medical Association and Echo Health Ventures, the VC firm backed by care provider Cambia Health Solutions, as well as Meritech Capital Partners and CVF.

The series C round followed a $56.2m round closed in early 2019 with participation from Meritech, Venrock, Biomatics Capital and, reportedly, Echo Health Ventures.

Biomatics Capital had led the company’s $20m series B round two years previously, investing with GV, Maryland Venture Fund, Venrock and Arch Venture Partners. The last two had provided $30m in series A funding in 2015, following $4.5m supplied by Venrock the year before.

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