Mednition, makers of machine learning powered solutions for healthcare, announced today that the company has raised $10 million in a Series A round of funding led by healthcare private equity firm Concord Health Partners. Concord tapped its American Hospital Association Innovation Fund for the financing.
Existing investor Wildcat Capital Management, LLC, the family office of David Bonderman, co-founding partner of TPG Capital, also participated in this new round, along with existing seed round investors.
“We were founded on a passion to help clinicians improve healthcare delivery significantly and save lives,” said Steven Reilly, CEO and Co-Founder of Mednition. “We’re transforming how clinical decisions are made in real time. Having Concord Health Partners demonstrate their confidence in us, by leading this financing, validates our company’s strategy, team and technology.”
James Olsen, Founder and Managing Partner of Concord Health Partners, added, “Concord is focused on identifying and supporting healthcare companies with innovative solutions that lower costs, improve safety, and expand access to quality healthcare. Mednition hits our criteria and is already using machine learning to advance healthcare where it’s most critical, at the point of care with emergency department clinicians and patients.”
Effective new innovations designed specifically to help address the immense, ever-growing pressure on emergency departments is paramount. More than 145 million people are treated annually in emergency departments nationwide. The use of those departments has increased 35% in the past 20 years while the number of them has shrunk by about 11%, according to the Centers for Disease Control and Prevention.
Proceeds from the financing will be used to expand the company’s customer care team as Mednition further scales commercial deployment of KATE, its flagship machine learning solution now in use at Adventist Health White Memorial (AHWM) in Los Angeles. AHWM partnered with Mednition in late 2016 to research machine learning in support of clinical decision making. KATE was deployed in December 2018 when the study results showed the potential to improve triage accuracy by 26.9% for every patient presenting at their emergency department and up to 93.2% for high acuity patients. This study and its findings are currently in peer-review and can be accessed on the Mednition website.
Along with its funding, Mednition today formally introduced KATE and will be debuting it publicly for the first time at next week’s Emergency Nursing 2019, the premiere industry conference dedicated to emergency nursing. The conference is being held in Austin at the Austin Convention Center, Sept. 29 – Oct. 2.
Over 70 emergency nurses at AHWM have been collaborating with KATE on triage acuity assignment serving an average of 160 patients per day. This real-time machine learning solution is easy to use, integrating seamlessly with all popular electronic health record (EHR) systems and existing triage processes. Triage nurses are regularly adding their expertise to KATE’s dataset of more than 10 billion de-identified patient clinical data points, making the system continually smarter.
“We have first-hand evidence that machine learning is improving healthcare delivery and saving lives,” said Mara Bryant, Operations Executive at Adventist Health White Memorial. “Using KATE, we have documented increased clinical accuracy, patient safety and operational efficiency, while using the same processes and existing EHR systems. Our nurses see KATE as a critical new machine learning-powered tool, like an expert advisor who increases their accuracy, ensures patients received the right care at the right time, and helps calm the chaos frequently associated with triage.”
Mednition was founded in 2014 with a passion to help clinicians improve healthcare delivery and save lives. Starting initially in the emergency department, Mednition is providing emergency nurses with KATE, a machine learning clinical decision support solution now in use at Adventist Health White Memorial in Los Angeles. The company is funded by a select group of private investors and major healthcare financial institutions, including Concord Health Partners. The company is based in Burlingame, CA. For more information, please visit www.mednition.com.
About Concord Health Partners
Concord Health Partners is a healthcare private equity firm with a strategic model that optimizes the alignment of interests between investors and portfolio companies. Concord is primarily focused on investing in healthcare companies that have the potential to enhance the value of care through products, services, technologies and solutions that lower costs, improve quality and/or expand access to care. Concord was formed in 2017 by Founder & Managing Partner, James Olsen, a former healthcare investment banker with Bank of America Merrill Lynch and Jefferies. In 2018, Joseph Swedish, a senior healthcare executive and former Chairman & CEO of Anthem, Inc. joined Concord as Co-Founder & Partner. For more information, please visit www.concordhp.com.