Routinify Raises $1.5 Million to Expand Telehealth Offerings

Routinify, a telecare service provider for seniors, completed a $1.5 million equity investment from Resolute Capital Partners (RCP), a private equity firm.

The company plans to use the new funds to expand its telehealth offerings and accelerate business operations.

Routinify plans to tap the telehealth market by providing an in-home or remote care program called WellAssist.

The program, focused on seniors and aging people, gathers real-time data from their wearable and medical devices and in-home sensors and their interaction with the at-home devices to provide personalized healthcare services based on their health condition according to the company. Further, the company’s platform connects patients with care providers for virtual visits, at any time in a day.

“I am thrilled to partner with Resolute Capital Partners,” said Pat Kelly, CEO, and founder of Routinify. “Resolute Capital’s technology fund helps entrepreneurial ventures meet their potential, and I believe Routinify will play a vital role throughout our communities as families and healthcare practitioners seek to find new ways to provide quality in-home care for aging adults while limiting exposure for both the aging adult and the healthcare providers to pathogens. In the coming months, I expect demand for home-based TeleCare to increase as individuals reconsider enrolling loved ones in managed facilities, and as others consider options for bringing their loved ones back home.”

According to Mercom Q1 2020 Digital Health Funding Report, telehealth companies raised almost $1 billion from over 100 investors. Lerer Hippeau, High-Tech Gründerfonds, UnityPoint Health Ventures, Creandum, and Optum Ventures, led the telehealth financing activity during the quarter.

In just the past two months (April and May), telehealth companies have secured over $700 million. Recently, Swedish telemedicine company raised $50 million to expand its digital operations and offline clinics to meet growing demand. Amwell (formerly American Well), a telehealth company, has closed a $194 million Series C financing round to expand its telehealth services.

According to a McKinsey & Company survey, the telehealth adoption in the U.S. has skyrocketed (due to COVID-19 pandemic), from 11% in 2019 to 46% in 2020. The survey also found that about 76% of consumers say they likely use telehealth in the future, while 74% reported high satisfaction.

McKinsey predicts that up to $250 billion of current U.S. healthcare spending could probably be virtualized.

Image Credit: Routinify