Armed with $300 million in Series D Funding, virtual care and digital medicine firm Biofourmis will start offering personal and predictive in-home care to a larger pool of chronically ill patients. The Boston firm announced the funding Tuesday from global growth equity firm General Atlantic, CVS Health and a number of other investors.
Biofourmis CEO Kuldeep Singh Rajput told McKnight’s Home Care Daily Pulse in an email CVS Health’s “end-to-end” assets including access to patients, retail pharmacy, a pharmacy benefits manager, as well as ownership of Aetna insurance help broaden Biofourmis’ footprint.
“Biofourmis’ partnership with CVS Health will accelerate our patient acquisition strategy,” Rajput said. “CVS Health in a recent announcement indicated that care-at-home is a priority. With this investment, CVS Health will be able to leverage Biofourmis’ technology assets to make their care-at-home plans and strategy a reality.
The new round of funding increases Biofourmis’ valuation above $1 billion and will help the seven-year-old company expand to other areas. The company also plans to fund clinical trials to advance the development of digital therapies and form strategic partnerships with companies in digital health and virtual-first care ecosystems. Those partnerships could also help Biofourmis accelerate growth in its virtual care platform Care@Home, which lets providers and payers remotely manage patients across the care continuum.
The company also plans to use the funding to strengthen its position in the value-based care
Market, which ties payment to the quality of care and patient outcomes. Value-based care is driving more care into the home. According to a report by business consultant McKinsey & Company, $265 billion or 25% of the total cost of care for Medicare and Medicare Advantage beneficiaries will move into the home by 2025. Approximately two-thirds of Humana’s are cared for by PCPs in value-based care arrangements and 85% of Cigna’s network physicians are in VBC arrangements.
