NASHVILLE, Tenn.--(BUSINESS WIRE)--axialHealthcare, a care optimization company navigating substance use issues for patients, providers, and health plans, today announced it has closed $15 million in equity financing to accelerate its expansion into the substance use disorder (SUD) treatment and recovery sector, led by previous institutional investors Oak HC/FT, .406 Ventures, BlueCross BlueShield Venture Partners (BCBSVP), and Sandbox Advantage Fund. The company also announced it has launched a new modernized brand identity that reflects the company’s expanded scope, both of which are designed to meet the needs of patients, providers, and health plans during the evolving opioid overdose epidemic.
“While early prevention and risk mitigation efforts will continue to be critical, it’s become increasingly apparent that addressing the next phase of the opioid epidemic and SUD in general requires a greater focus on treatment and recovery,” said Carter Paine, Chief Executive Officer at axialHealthcare. “This funding will support the market launch of an end-to-end platform that offers personalized solutions from risk to recovery, with a new emphasis on connecting and aligning what is a fractured ecosystem for recovery. In collaboration with our client partners, we are devoted to finding a better way to support patients and families struggling with the complexities of SUD.”
The opioid epidemic in the United States is evolving. Although opioid overprescribing has decreased, drug overdoses and hospital admissions have increased while access to quality treatment continues to be inadequate, as evidenced by the 80% of individuals with SUD who are not receiving any kind of treatment. To address this shift, the company has expanded its scope from using proprietary analytics focused on risk prevention and mitigation for patients with elevated opioid or polydrug-related safety concerns to also encompass treatment conversion and adherence for patients struggling with SUD.
The new treatment and recovery focus couples high-tech and high-touch, creating a more hands-on approach to whole-patient care that enables recovery. When patients in need of treatment are identified, axialHealthcare’s clinical team assesses individual patient needs, connects them with appropriate treatment, and provides peer recovery support specialists to guide them throughout their journey to sustained recovery. To assist overburdened providers, peer recovery specialists engage patients on a consistent and long-term basis to encourage care plan progress and connect to community and social resources, all in support of sustained recovery.
To represent its new services-based approach to improving patient care, the company also launched a modernized visual identity conveying expertise and empathy, including a new logo and website.
“With more than 19 million Americans suffering from SUD, there’s a dire need for a comprehensive solution that can address the changing epidemic our country is facing, and the axialHealthcare team is uniquely positioned to be that solution,” said Nancy Brown, General Partner at Oak HC/FT and longtime axialHealthcare Board Member. “axialHealthcare has been a leader within the prevention landscape and their new expansion into treatment offers clients an end-to-end solution that improves patient outcomes no matter where they are on the substance use spectrum.”
axialHealthcare connects patients, providers, and health plans with an end-to-end platform that covers the entire substance use spectrum. Leveraging services grounded in analytics, our risk to recovery platform identifies patients at risk, prevents escalation in their condition, and supports appropriate treatment enrollment and adherence. This high-tech, high-touch approach delivers measurable clinical and financial outcomes by effectively managing cost of care while supporting sustained recovery for patients with substance use disorder. For more information, visit www.axialhealthcare.com.
About Oak HC/FT
Founded in 2014, Oak HC/FT is the premier venture growth-equity fund investing in Healthcare Information & Services ("HC") and Financial Services Technology ("FT"). With $1.9 billion in assets under management, we are focused on driving transformation in these industries by providing entrepreneurs and companies with strategic counsel, board-level participation, business plan execution and access to our extensive network of industry leaders. Oak HC/FT is headquartered in Greenwich, CT, with offices in Boston and San Francisco.
About BlueCross BlueShield Venture Partners
BlueCross BlueShield Venture Partners (BCBSVP) is a corporate venture fund program to which thirty-three BCBS entities have committed over $575 million across three Funds. BCBSVP invests in promising emerging companies of strategic relevance to Blue Cross and/or Blue Shield companies and provide access to its portfolio to deploy innovation at scale. BlueCross BlueShield Venture Partners is sponsored by the Blue Cross and Blue Shield Association, an association of independent Blue Cross and Blue Shield companies. For more information, visit www.bcbsvp.com.
About 406 Ventures
.406 Ventures is a Boston-based early stage venture capital firm investing in healthcare and enterprise technology companies founded by visionary entrepreneurs. .406 Ventures was founded in 2006 and has over $1B under management across six funds. The firm leads, or co-leads, first institutional investment rounds in market-changing companies. .406 Ventures’ healthcare theses focus on systems, technologies, and services that improve clinical delivery, with investments in companies such as Abacus Insights, AbleTo, axialHealthcare, Iora Health, Nomad, Redox and WelbeHealth. Learn more at 406ventures.com and here.