Adding to a Series B that was initially announced this fall, Georgetown healthtech company Babyscripts just landed $7.5 million in a second close.
With additional funds from Cigna Ventures, Texas Medical Center Venture Fund and Atlantic Health System, the new total for its 2021 fundraise is $19.5 million. With the investment, Babyscripts, which offers a virtual care platform for managing obstetrics, is expected to boost its rollout of virtual care solutions. The company has raised $37 million to date.
Babyscripts initially closed its Series B in September, raising $12 million in a round led by the MemorialCare Innovation Fund, Philips and the CU Healthcare Innovation Fund. Additional investors participated as part of its Strategic Partner Program, an investment bloc for health systems interested in its technology.
Babyscripts Cofounder and President Juan Pablo Segura told Technical.ly that the additional funding will support the company’s growth strategy in 2022.
“We’re at a point now where we’re ready to take the growth of the company to the next level…” Segura said. “We’ve gotten to a critical mass of providers across the country. Essentially, we want to do a lot more with these health systems, OB groups and practices that allow them to do more population health, to do more monitoring, to do more interventions and to really grow the impact of Babyscripts.”
The goal, he said, is to grow Babyscripts from its current presence in 32 states to all 50 in the coming year. To do that, he said, the company will be putting the funding towards continued product investment, virtual care offerings and specifically helping parents connect with providers. It’ll also be investing in sales and marketing, and plans to double its team from 30 to 60 people in the next 12 months.
Over the last 18 months, Segura said, healthcare providers and hospitals have struggled in how to safely continue procedures and move to telemedicine, and they’re in need of help. He hopes this funding round, and subsequent growth, can help fill in some of the gaps.
“Our big thesis is that the provider is key in really improving maternal outcomes, and they need more tools at their disposal,” Segura said. “So really a core thesis of our round and our strategy is to keep making a provider a main partner and to give them better tools, more scalable tools to do all the things that they need to do in delivering virtual care.”
In particular, he noted, Babyscripts’ partnership with Cigna will help its efforts in providing financial reimbursements for telemedicine, something he said still isn’t particularly common. This round, he hopes, can help usher in a big shift in maternal care nationwide.
“We think that it’s a coalition of the willing,” Segura said. “We’re getting a lot of people at the table to financially, contractually put skin in the game to improve maternal care through the Babyscripts vision, and that’s what we think it will take to really move the needle on outcomes.”