Healthcare software company Commure has secured $200 million in growth funding from General Catalyst's Customer Value Fund.
The CVF helps late-stage companies grow without giving up ownership – avoiding dilution. Through its CVF, General Catalyst fronts the cost of sales and marketing and, in return, receives a share of the revenue from new customers generated by that investment, up to a fixed cap. After that, the company that received the investment keeps all future profits.
If CVF's investment doesn't deliver results, the company owes nothing; GC only gets paid if the company earns revenue from those customers.
WHAT IT DOES
Commure, which offers an AI-enabled platform focused on helping healthcare providers with administrative work, said it will use the $200 million growth capital to meet the demand for its revenue cycle management, practice management tools, and ambient AI clinical documentation and workflow offerings.
In a statement, Commure said the proceeds would help speed up product innovation and implementation as well as its go-to-market efforts.
"This funding lets us accelerate our reach and impact in healthcare with capital aligned to performance," Tanay Tandon, CEO of Commure, said in a statement.
MARKET SNAPSHOT
Earlier this year, Commure entered into a partnership with virtual healthcare provider HealthTap to combine Commure's EHR integrations, care coordination abilities and AI tools with HealthTap's clinician network and virtual care delivery services.
The companies touted that the partnership would allow health systems to offer virtual care services without the need to build staff internally.
Commure also announced it would work with QLog, an Israeli company offering real-time location systems (RTLS) and Bluetooth Low Energy technologies for healthcare.
The partnership allows QLog to power Commure's Strongline Enterprise Visibility Platform and other offerings.
In 2024, Commure acquired the digital care navigation platform Memora Health, which offers an AI-enabled platform that helps providers manage complex care needs, including automated reminders, messaging, scheduling and metrics.
Through the acquisition, Memora's offerings were integrated into CommureOS, the company's operating system designed for healthcare.
Commure also acquired ambient AI medical documentation company Augmedix in a $139 million deal last year.
Augmedix progressed from a Google Glass-based clinical documentation startup to a publicly traded entity. It offers an AI-enabled ambient automation platform that documents patient encounters and generates medical notes that can be transferred to an electronic health record.
In 2023, Commure merged with Athelas in a $6 billion deal. Athelas is a healthcare company involved in revenue cycle management, AI-powered medical scribe and workflow automation.
In 2021, Commure raised almost $500 million over two rounds of funding.
