Avalon Healthcare Solutions Raises Additional Capital to Drive Growth
Press Releases — Jan 06, 2017
Partnering with Founders
Avalon Healthcare Solutions, the leader in technology-enabled laboratory benefit management, today announced a third round of capital investment in the company. Mosaic Health Solutions (Mosaic), BlueCross BlueShield of South Carolina, and Francisco Partners are investors in the round. Echo Health Ventures (Echo) will administer this investment for Mosaic.
Avalon is experiencing rapid growth as more health insurers express interest in the company’s services. The new capital will be used to enhance Avalon’s comprehensive laboratory benefits management solution and clinical capabilities, as well as to strengthen growth opportunities.
“The year 2016 was one of significant accomplishments for Avalon,” said Bill Kerr, CEO of Avalon. “Our clinical advisory board and staff delivered the industry’s largest body of lab medical policies, and we launched our first-of-its-kind cloud-based technology that already has successfully managed millions of claims in tenths of a second each. In addition, we created a national network of independent laboratories to serve our clients in delivering cost-effective, high quality testing.” Avalon’s transformative model is highly consistent with Mosaic’s and Echo’s view of a more consumer-centric and cost effective health care system. “Echo Health Ventures partners with companies that transform the way health care is delivered, making it more efficient and cost-effective for consumers,” said Rob Coppedge, CEO of Echo Health Ventures. “Leveraging the company’s deep expertise in lab science, industry leading technology and effective management of a broad lab network, Avalon has made health care lab solutions more consumer friendly, redefining the way health plans, physicians and laboratories coordinate testing for millions of patients.”
New clinical lab testing technologies and costs are accelerating, and inappropriate testing or missing key screenings can result in complications and significant expense arising from unwarranted care or overlooked treatment. Avalon’s comprehensive solution addresses these challenges across the spectrum of lab activities, from routine blood work to complex genetic-based tests.
“As Avalon’s initial client, BlueCross BlueShield of South Carolina has been highly involved in the company’s development,” said Dale Rish, Senior Vice President of BlueCross BlueShield of South Carolina. “We are confident that the Avalon program can produce tangible results in improving the quality and cost effectiveness of lab care.”
Cain Brothers acted as financial advisor to Mosaic. Financial terms of the investment are not being disclosed
About Avalon Healthcare Solutions
Headquartered in Tampa, Fla., Avalon is a clinical and information technology company that helps physicians, consumers, and payers manage the cost effective use of thousands of diagnostic laboratory tests. Avalon uses evidence-based medical science to develop and deploy clinical policies and proprietary software and to manage a national network of providers in the dynamic, complex lab environment.
ABOUT AVALON HEALTHCARE
The company manages the appropriate use of more than 4,000 current lab tests and researches new tests to determine efficacy and impact on patient care.