Cedar, a developer of end-to-end billing software for hospitals, health systems, and medical groups, closed a $200 million in Series D financing round, bringing the company’s valuation to $3.2 billion.
Tiger Global Management led the funding round. Existing investors Andreessen Horowitz (a16z), Thrive Capital, and Concord Health Partners also participated in the round.
The company, which has raised more than $350 million in total funding to date, plans to use the new capital to broaden its product roadmap beyond its flagship financial engagement product, making the healthcare experience more personalized, transparent, and convenient.
According to the company, its healthcare financial engagement platform for hospitals, health systems, and medical groups simplifies patients’ financial experience, improving bill resolution and providers’ payment outcomes.
The company works with more than 35 healthcare providers across the United States, including Yale New Haven Health (YNHHS), Summit CityMD, Novant Health, and ChristianaCare.
As COVID-19 has accelerated the digital shift in healthcare, demand for Cedar’s product has increased significantly, with the company quadrupling its business throughout 2020. “Now, more than ever, patients deserve a healthcare experience that prioritizes their needs, and yet there are still so many problems on the financial side, which negatively impact their medical journey,” said Florian Otto, CEO, and co-founder of Cedar.
Florian Otto added: “Our mission has always been to enable exceptional patient experiences and transform healthcare. With this funding, we are in a position to extend our footprint further, help relieve financial burdens for patients and continue innovating to respond to ongoing shifts in the healthcare industry.”
“Cedar has emerged as the market-leading, a technology-enabled platform helping patients resolve their medical bills in ways that are easier and more relevant, resulting in improved financials for healthcare providers. We are very excited to back Florian and the team as they continue to optimize patient-centric financial engagement in healthcare,” said Scott Shleifer of Tiger Global Management.