Solera Health Raises $18.3 Million in Series B Funding
PHOENIX – July 12, 2017 – Solera Health, a provider of integrated chronic disease prevention services, announced today that the company has raised $18.3 million in Series B funding in a round led by Adams Street Partners. Existing strategic investors Blue Cross Blue Shield Venture Partners, Sandbox Industries and social impact fund SJF Ventures also participated in the round. The round brings Solera’s total funding raised to date to $30.3 million.
In its role as a preventive care benefits manager, Solera makes chronic disease prevention programs–including the National Diabetes Prevention Program (DPP)–affordable, accessible and efficient by connecting at-risk individuals with a diverse network of lifestyle modification programs as covered medical benefits. The company’s national model was purpose-built to consolidate highly-fragmented community and digital DPP providers into one integrated network, allowing health plans and employers to offer a wide variety of non-clinical program providers while lowering associated costs. The company drives enrollment, sustained engagement and outcomes by matching consumers to the program provider that best meets their needs and preferences.
Solera has already proven that its model is resonating with payors and employers. Traditionally the chronic disease prevention space has been crowded with more than 1,000 community and digital DPP providers. The company’s growth and proven ability to engage consumers confirms that offering choice through an integrated network model drives sustained engagement and outcomes. Solera has built a robust national network of community organizations and digital DPPs including Weight Watchers, Lark, Retrofit and Noom. Since its launch the company has grown to over 70 employees and has over 40 million covered lives under contract.
Solera will use the Series B funding to meet market demand for the Medicare DPP benefit in addition to expanding its network offering into other highly fragmented prevention, coping and support services which address health issues ranging from mental wellbeing to social determinants of health. Solera will also continue ramping their investments in technology to support the flexibility of their platform for market expansion and continued growth including scaling the model internationally.
“Solera Health has created the preventive care benefits manager category and for the first time is now enabling non-clinical providers to be integrated into healthcare,” said Brenda Schmidt, CEO, Solera Health. “This investment allows us to further scale our model to positively impact the enormous health and financial burdens of chronic disease.”
“Solera Health was immediately compelling as they had such a unique vision and approach for addressing challenges typically related to preventive services administration,” said Tom Bremner, a Partner at Adams Street Partners. “Brenda and her team saw a need for a DPP integrator who could manage engagement, enrollment, billing and reporting, and they built a company around bridging this gap in the healthcare ecosystem. This round of funding will support the company’s ongoing efforts to alter an antiquated approach to the administration of preventive benefits and transform the healthcare delivery model as we know it.”
Dan Phillips, Managing Director of Sandbox Industries, representing Blue Cross Blue Shield Venture Partners on the Board of Solera, added, “Blue Cross Blue Shield Venture Partners has been actively involved with Solera Health from the very beginning. As an early investor, we bring a unique perspective when it comes to evaluating the considerable success Brenda and her team have achieved while building a national scalable and repeatable model for the prevention and management of chronic diseases. Our ongoing investment in the company is a testament of our belief in the substantial impact the company is having on enhancing both DPP enrollment and results for the diverse range of patients who are benefitting from this ever expanding range of services.”
