BioIQ Secures $26.5 Million in Venture Funding to Expand At-Home Health Testing Kits and Transform Population Health Management

Recently,VCBeat (WeChat ID: vcbeat)BioIQ, a U.S. corporate health management solutions provider, has completed a $26.5 million Series B financing round. The round was led by HealthQuest Capital, with participation from Arboretum Ventures. In its first two rounds of venture capital funding, BioIQ raised relatively modest amounts. Since its founding in 2005, the platform has launched thousands of successful programs for millions of participants.

It is reported that BioIQ will use this funding to continuously drive platform development and remain committed to its mission of helping to transform the U.S. healthcare system and impact the lives of over 100 million people.

In a phone interview, Justin Bellant, Founder and CEO of BioIQ, stated that the company is preparing to announce an acquisition next month and is actively seeking other technology companies to expand and adjust its business operations.

“BioIQ is dedicated to helping everyone understand their health risks and connect with personalized interventions. Our intelligent technology fundamentally transforms the relationship between individuals and national healthcare systems, thereby enhancing convenience, improving access, raising the quality of care, and reducing costs,” said Justin Bellante, CEO of BioIQ. “This funding provides us with additional resources to enhance the quality of solutions BioIQ delivers to clients and reduce expenses, further supporting their transition toward value-based care.”

BioIQ Founder and CEO Justin Bellant

Justin Bellant holds bachelor’s and master’s degrees in Materials Engineering from Case Western Reserve University (CWRU) and a Ph.D. from the University of California, Santa Barbara. He has published articles in scientific journals such as Science, Applied Physics Letters, and MRS Proceedings. He is also a researcher at Sandia National Laboratories’ Radiation and Reliability Physics Organization and at the Microfabrication Facility within Case Western Reserve University (CWRU).

In 2005, Justin Bellante, then a doctoral student at the University of California, began to entertain the idea of starting a business. He had originally shown great promise in the field of materials science, but everything changed when his academic advisor, who was also his friend, suffered a fatal stroke due to an undiagnosed diabetic condition.

Bellante later learned that his mentor might have previously preserved his historical data through simple blood glucose tests, which would almost certainly have indicated the risk of developing this debilitating disease. With this information, interventions in diet and exercise, or the early initiation of a routine insulin injection regimen, could help prevent lifelong stroke.

Bellante recalled, “Most of us passively assume that the healthcare system will take care of us. Yet how could someone embodying knowledge and insight remain unaware of something so critical? How can this happen every day if the underlying conditions are not fundamentally addressed?”

“We recognize that there is a fundamental disconnect between the healthcare system and those in need of care,” said Bellante. “Diagnostic technologies, medical specialists, and data are all available, yet no one has adopted a systematic approach to integrating them.”

BioIQ was founded to help people understand their health status in a quantifiable manner.

Bellante and the other members of the founding team are well-versed in engineering and quantum mechanics, a science that deals with the logical connections between subatomic systems. The team is eager to create a company that applies an engineering approach to healthcare, measuring success not only by revenue but also by improvements in population health and lives saved. Research indicates that nearly half of the U.S. population is at risk of developing serious health conditions that could be prevented if detected early.

Since its inception in 2005, BioIQ has gained momentum in the health industry by connecting individuals with health solutions to assess their risks for diabetes, heart disease, and cancer.

BioIQ is transforming the way health measurements are conducted by seamlessly connecting individuals to health tests through software and testing kits, making testing more accessible and creating more touchpoints with health service providers.

BioIQ's Health Test Kit

Currently, BioIQ's business is divided into two parts:

In the direct-to-consumer (DTC) model, BioIQ users can order test kits online to screen for conditions such as colorectal cancer and diabetes, send samples to laboratory partners for analysis, and thereby help identify members at risk of chronic diseases, ultimately reducing their disease risk.

Home testing kits can help health plans meet HEDIS requirements while providing members with a convenient screening option. Once the test kits are deployed, members simply complete the tests and return them to the laboratory using a prepaid return envelope. BioIQ provides solutions to configure and manage all aspects of the health testing program.

Healthcare Effectiveness Data and Information Set (HEDIS) is a tool used by more than 90% of health plans in the United States, serving as a key validity metric for measuring care and services. HEDIS comprises 94 measures across seven domains. Because many health plans collect HEDIS data and these measures are clearly defined, HEDIS enables fair and reasonable comparisons of health plan performance.

Upon receiving feedback from the test kits, the BioIQ platform coordinates with third-party laboratories and other vendors to connect members to the next available level of care and to analyze the results of health tests.

In terms of the B2B model, BioIQ provides enterprises with comprehensive screening solutions, including online health risk assessments, customizable on-site screening events, and remote and at-home screening options.

During on-site events, clinical staff can collect blood samples, administer influenza vaccines, and record various test results using BioIQ HealthSync (BioIQ’s secure, HIPAA-compliant application). At the conclusion of each screening task, clinicians can recommend and enroll participants in follow-up programs through the app.

Through the BioIQ management console, corporate users can easily set up on-site health screening events and connect remote employees with convenient health solutions via one of the thousands of laboratory or pharmacy locations in BioIQ’s nationwide network.

Administrators can set filtering options to deliver multi-channel reminders about employee health plans and track plan progress.

The BioIQ platform automatically updates employee accounts and screening results, ensuring that high-risk individuals are promptly notified and can take appropriate follow-up actions.

After the screening is complete, employees can log in to view detailed test results, access sections addressing risks identified during the screening process, and download forms for follow-up discussions with their primary care physicians.

In the Rewards tab, they can view the points they have earned based on goal completion, or view certain filtered health ranges.

Overall,The BioIQ platform enables enterprises to:

• Streamlined Procedure Management

• Provide comprehensive filtering options

• Encouraging Employees to Pursue Continuous Health Improvement

• Gathering Employee Feedback

BioIQ’s business model is direct-to-consumer (DTC), positioning itself as the “Netflix” of at-home health testing kits. Users can order test kits online to screen for conditions such as colorectal cancer and diabetes, and then send their samples to laboratory partners for analysis. However, consumers at the time were unwilling to pay for this service. Consequently, Bellante shifted its focus toward corporate wellness solutions.

Bellante stated, “Users have diverse preferences regarding their preferred methods of accessing services. We will help them streamline the process of receiving healthcare. By partnering with companies such as Castlight Health, we enable them to consult physicians more conveniently and efficiently.”

He pointed out that developments in the healthcare sector indicate that the company recognizes multiple linkages between its value-based care approaches to employee health programs and the initiatives being undertaken by corporate employers.

Currently, the company’s valuable intellectual property lies in its automated technology platform for health testing activities.

The platform has become a central hub for the secure exchange of electronic health records among corporate employers, laboratory networks, physicians, hospitals, retail pharmacies, home healthcare providers, and Accountable Care Organizations (ACOs).

These partnerships facilitate consumer navigation and the secure exchange of medical data, which are part of efforts to streamline care gap closure and preventive health testing.

“BioIQ has demonstrated its ability to connect individuals and populations by providing solutions that measure critical health metrics and securely exchange health data,” said Bellante. “We have helped thousands of organizations and millions of people take a more active role in achieving optimal health.”

Todd Creech, Partner at HealthQuest Capital, stated, “We look forward to collaborating with the BioIQ team to help them deliver high-quality care solutions to payers, providers, and patients, thereby achieving new growth and success.”

Paul McCreadie, Managing Director at Arboretum Ventures, added, “BioIQ has developed a unique solution to facilitate meaningful patient engagement for healthcare systems and provider clients, delivering better health outcomes at lower costs. We are thrilled to partner on this exciting opportunity.”

Following the completion of the financing, Todd Creech and Paul McCreadie joined BioIQ’s Board of Directors, with Stifel serving as BioIQ’s financial advisor.

HealthQuest Capital makes early growth investments in innovative, commercial-stage healthcare companies, with a focus on medical products, diagnostics, medical IT, and technology-enabled healthcare services. The HealthQuest investment team leverages deep operational experience, clinical and scientific expertise, and extensive relationships across the healthcare industry to add value to its portfolio companies.

HealthQuest Capital is headquartered in Belmont, California, with offices on both the West and East Coasts.

Arboretum Ventures is a venture capital firm specializing in the healthcare industry. Founded in 2002, the firm manages $450 million across four investment funds. The investment team targets capital-efficient companies that can effectively reduce healthcare costs and improve efficiency in key areas such as medical devices, diagnostics, health IT, and healthcare services. Its headquarters are located in Ann Arbor, Michigan.