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.”