San Francisco-based healthtech unicorn Collective Health announced Tuesday that it raised $280 million in a Series F led by Health Care Service Corporation. In a year chock full of funding for healthcare startups, the latest raise for Collective Health places its valuation at a whopping $1.5 billion, according to Bloomberg.
Collective Health’s customizable platform brings together a range of healthcare partners across the care and benefits delivery spectrum. From medical provider networks to pharmacy benefit managers to virtual care solutions and digital health programs, Collective’s platform works to centralize benefits information for businesses and their employees. By doing so, the company aims to reduce some of the administrative lift typically associated with the benefits application process.
“One of the most significant pain points in our economy and society is the lack of a powerful and flexible technology infrastructure to help people understand, navigate, and pay for healthcare,” Ali Diab, co-founder and CEO of Collective Health, said in a statement. “By expanding the scope and reach of our platform and partner ecosystem, we can broadly deploy the infrastructure for the next generation of healthcare.”
Over the last few years, Collective Health has seen 10x member growth, according to the company. The company currently serves nearly 300,000 members across more than 55 companies.
“The fragmented nature of healthcare today prevents many people from getting the care they need when they need it. This can lead to poor health outcomes, as well as disparities in care,” a spokesperson for the company said in a statement.
The company will use the additional capital to further enhance its platform, expand partnerships and grow its team.
Collective is now hiring for dozens of open positions spanning multiple departments, although the company is currently focused on expanding its engineering team. Both in-person and remote positions are available.
As part of its recently announced partnership with the Health Care Service Corporation, Collective’s technology will be made available to self-funded Blue Cross and Blue Shield customers in Illinois and Texas at the top of 2022.
Collective Health has raised $719 million in financing to date, according to Crunchbase.
Additional investors DFJ Growth, Founders Fund, G Squared and Maverick Ventures participated in the round, among others.
