Just a couple of months after it acquired Emerge.MD, telemedicine startup Avizia has raised fresh capital for an aggressive expansion plan this year. It raised $4 million, according to a Form D filing with the Securities and Exchange Commission.
In an interview with DC Inno, Avizia CEO Mike Baird said the funding will be used to speed up development, add to its workforce and explore potential acquisitions. He said nearly 2 million patients use its telemedicine platform and many hospitals use its software. It wants to expand the range of service lines it provides including critical care, cardiology “and to drive deeper integrations with electronic health record platforms.”
It plans to add 25 more staff across software, sales, development engineers and clinical implementation specialists, which would bring its employees to 80, according to the article.
Among its investors are NextGen Angels, Blu Venture Investors, and Middleland Capital. To date, Avizia has raised about $6 million.
Baird, formerly of Cisco, founded the company in 2013 with a group of former colleagues. The Reston, Virginia-based company develops carts and high definition screens for video consults to hospitals and healthcare facilities. But its merger with Emerge.MD gave Avizia a software platform that could be integrated with its business.
Several telemedicine companies have used acquisitions to deepen their services or move into specialties such as telepsychology. Last year MD Live acquired Breakthrough Behavioral, Practice Fusion acquired RingaDoc, Teladoc purchased AmeriDoc and in 2013 purchased Consult a Doctor. Given the slow trend of more states permitting telemedicine and private insurers warming up to it, there’s sure to be a good deal more consolidation in the sector this year.