One of the biggest stories to come out of last week’s HLTH meetup was the surprise merger between Biofourmis and its under-the-radar remote care competitor CopilotIQ.
CopilotIQ launched a few short years ago in 2021 to provide remote patient monitoring for seniors managing chronic conditions through its High-Frequency Connected Care platform.
- The platform combines clinical automation software with biomarker data, behavioral analytics, and nursing visits to better manage conditions like diabetes and hypertension.
- The company has raised just $30M to-date, and was mostly operating in stealth as it grew its footprint to 11 states and “tens of thousands” of patients.
Biofourmis on the other hand is a Softbank-backed giant that reached unicorn status in 2022 as it closed its $300M Series D round, although we haven’t seen an update on that peak-pandemic valuation.
- The focus for Biofourmis has centered on supporting health systems, payors, and pharma companies with in-home delivery of complex care using wearables, FDA-cleared algorithms, and a virtual specialty care ecosystem.
- Its founder-CEO Kuldeep Rajput departed last year and recently transferred his shares to existing investors while launching a multimodal clinical AI startup called OutcomesAI.
The combined company will be helmed by CopilotIQ CEO David Koretz, who will oversee its transformation into an end-to-end home care solution across the full spectrum from pre-surgical optimization to acute, post-acute, and chronic care.
- The announcement highlights the power of combining CopilotIQ’s consumer-facing business with Biofourmis’s enterprise customer expertise within a “single pane of glass” to view patients across the entire care continuum.
- Tough to argue with the logic behind one integration, one security audit, simplified procurement, and a better user experience.
Outside of that, the only other info on the merger is that it’s an all-stock transaction that’ll see existing investors – including General Atlantic and Bessemer Venture Partners – pile in another $100M to attempt to bridge the gap to the public markets.
The Takeaway
At a time when valuations are quickly heading back to earth and exits are hard to come by, Biofourmis and CopilotIQ’s merger has all the tell-tale signs of an investor-driven union, and the smaller company’s CEO will now get a shot at proving platforms beat point solutions for in-home care.
