SAN FRANCISCO — Health technology company Collective Health has raised a $205 million round of new funding led by the massive SoftBank Vision Fund.
The SoftBank Vision Fund led the round with additional participation from PSP Investments, DFJ Growth, and G Squared, as well as existing Collective Health investors including Founders Fund, GV, Maverick Ventures, Mubadala Ventures, NEA, Sun Life, and other leading investors.
Collective Health plans to use the new funding to:
- Accelerate adoption of its enterprise healthcare platform with employers across the U.S. and deepen strategic partnerships across the industry
- Deliver even greater technology capabilities to address fundamental health insurance service issues that plague U.S. consumers and employers alike
Accelerating adoption and deepening partnerships
Building upon the increasing demand from American employers looking to address the ballooning complexity and cost of healthcare, Collective Health is accelerating growth across all 50 states by strengthening its national sales, engineering, and customer experience teams in San Francisco, Chicago, and Lehi.
Collective Health makes health insurance work for everyone. With more than 200,000 lives across over 45 enterprise clients in diverse industries such as technology, agriculture, entertainment, and retail, among others, Collective Health’s growth has gone from early adopter to mainstream since launching in 2013.
Collective Health plans to add new partnerships to its already expansive list of 80 integrated health partners on its open platform. These include new local and national medical PPO networks, provider systems serving the commercial market, and an increasing number of digital health solutions that allow seamless integration for both employer reporting and member engagement.
“We’re appreciative of our investors, both new and returning, in their commitment to supporting our mission to fix the deepest rooted problems in healthcare today,” said Ali Diab, Co-founder and CEO of Collective Health. “We’re excited to have the SoftBank Vision Fund lead the round given their proven track record of supporting category-defining companies, and they share our vision for a better healthcare experience. Whether working with more networks or helping facilitate direct relationships between employers and provider systems, we will continue to set the standard for the industry with a focus on the customer, providing the healthcare experience we all deserve.”
“With U.S. healthcare costs at $3.65 trillion in 2018, Collective Health is reinventing the healthcare experience for companies and their employees. Their innovative business model and technology platform are not only helping employers understand and optimize their healthcare spend, they are also providing employees with a better healthcare experience,” said Deep Nishar, Senior Managing Partner at SoftBank Investment Advisers. “The company has continued to scale its business across U.S. employers, and we are excited to help them drive further innovation and adoption in the approximately $1.2 trillion employer health insurance industry.”