Risalto Health Secures $7M Series A Funding to Enhance Musculoskeletal Care Platform

VCBeat (WeChat Official Account: vcbeat) learned from foreign media that on November 13, 2019, local time, U.S. digital healthcare services company Risalto Health announced the completion of a $7 million Series A financing round, exclusively invested by Health Catalyst Capital Management (HCCM).

Previously, on June 5, 2018, Risalto Health completed a $1.5 million seed financing round led by HCCM.

This funding round will be used to expand Risalto Health’s projects across China and drive improvements to its care service platform, with the aim of enhancing patient outcomes in musculoskeletal care.

Risalto Health was co-founded by Oxeon Venture Studios (Oxeon) and an entrepreneur in residence at Oxeon. Throughout Risalto Health’s growth, Oxeon has provided dedicated human resources, financial capital, and business development support to help the company expand and fully realize its market potential.

Risalto Health is a technology- and data-driven healthcare services company dedicated to transforming the delivery of musculoskeletal care. Meanwhile, Risalto Health also provides comprehensive solutions for back, neck, knee, and hip pain to its clients. They collaborate with healthcare providers and patients to ensure that every patient receives optimal care.

Today, musculoskeletal (MSK) disorders affect millions of Americans and result in billions of dollars in unnecessary costs for employers and health plans. Risalto Health’s platform connects patients, employers, and providers to the highest-quality care through its proprietary algorithms, offering personalized alternative solutions for patients embarking on their MSK care journey. Risalto Health has demonstrated a 50% improvement in pain scores among engaged members and achieved a 95% success rate in influencing members’ care choices.

Dr. Daniel Pizzarello, Founder and CEO of Risalto Health, stated, “As we engage with patients on a daily basis, it has become increasingly evident that musculoskeletal (MSK) patients lack essential care coordination and resources. We are delighted to continue our partnership with HCCM to expand care services across China, helping to ensure that every patient receives the treatment they deserve, thereby avoiding hazardous medications and unnecessary surgeries.”

Health Catalyst Capital views musculoskeletal (MSK) care as a major pain point in the healthcare system. Charles Boorady, Managing Director of the firm, stated, “By making a second investment in Risalto Health to transform MSK care, Health Catalyst Capital is committed to improving the utilization and quality of the healthcare system while also reducing costs. We have been impressed by the progress made by Dan and the Risalto Health team since our initial investment. We are now pleased to support their nationwide rollout of their healthcare program to employers.”

Health Catalyst Capital Management (HCCM), established in October 2015 and headquartered in New York, USA, is an independent private equity fund management firm. HCCM primarily invests in healthcare information technology, SaaS, AI, and technology-enabled service businesses at the venture and growth stages, which are dedicated to delivering valuable medical services to patients and improving human health outcomes.

Oxeon Venture Studio is a premier executive search and venture capital firm established in November 2011, with its headquarters in New York, USA. Leveraging the extensive networks of Oxeon and Town Hall Ventures, the company formulates business plans, validates product-market fit, recruits founding leadership teams, and secures anchor customer partnerships and investment capital to support the accelerated growth of startups. Companies developed within Oxeon Venture Studio include Docent Health, Empiric Health, fight Health, Risalto Health, and most recently, Eleanor Health.

(Compiled by Wang Fang)