Transcarent, a new health startup led by Glen Tullman, has raised another $58 million.
The investment was led by the company's early backers, venture funds General Catalyst in Palo Alto, Calif., and Tullman's 7Wire Ventures. Also investing are heavyweights Merck, Bayer and Kleiner Perkins, as well as GreatPoint Ventures and Threshold Ventures.
Transcarent picks up where Tullman's most recent company, Livongo, left off: It's essentially a digital healthcare concierge service for self-insured companies, helping their employees get the most bang for their dollars. Transcarent's app can help employees connect with a doctor via text message, schedule an in-person appointment, request a prescription, find in-home treatment options or even figure out the hospitals that have highest success rates for a particular type of care.
"It's pretty clear that health care today is more confusing, complex and more costly than ever before," says Tullman, who is CEO of Transcarent. "The payers said they were going to give us better and more cost-effective system, and it hasn't happened. Post-pandemic, how many people have said, 'I don't want to go back to the old way?' People say, 'I want to do this at home, where it's higher quality and more convenient.' "
The company has a head start after acquiring BridgeHealth, which specializes in arranging bundled surgical care for workers at more than 100 companies, including Target and Delta Air Lines. "We have a healthy customer base already," Tullman said.
Transcarent, which previously raised $40 million, has 135 employees, with offices in Chicago, San Francisco and Denver. "I suspect we'll do a lot of our hiring in Chicago and Denver. It's hard to get people and keep people in California," Tullman said.
This story first appeared in our sister publication, Crain's Chicago Business.