Panacea Financial Extends Series B to $62M From Valar Ventures

LITTLE ROCK, Ark.--(BUSINESS WIRE)--Panacea Financial, the financial technology company dedicated to providing world class financial services to doctors and doctors’ practices, today announced the extension of its Series B round to $62 million following an additional $37 million investment from Valar Ventures, a global fintech venture capital fund. This marks one of the largest fintech investments in a healthcare-specialized financial platform and brings Valar’s total equity investment in Panacea to $62 million.

Panacea is transforming financial services for doctors and their practices by addressing needs long overlooked by traditional banks. From high debt to delayed earnings, doctors face unique financial challenges that generic products can’t solve. Panacea’s doctor-founded platform delivers tailored solutions built around the realities of life as a doctor. With deep domain expertise, innovative solutions and a focused customer base, Panacea is positioned to become the financial partner of choice for doctors and their practices nationwide.

Since launching in November 2020, Panacea has processed more than $2 billion in loan applications from doctors and their practices and expects to surpass $1 billion in funded loans by 2025. Its vertically integrated platform – spanning banking, lending, and advisory – delivers intelligent, data-driven financial solutions built exclusively for doctors, through an efficient and differentiated go-to-market strategy. Panacea’s specialty-focused underwriting has produced industry-leading efficiencies and portfolio performance, with average annual net charge-offs of just 0.3% since inception – far outperforming traditional lenders. As it scales, Panacea will further accelerate its already best-in-class time-to-funding while driving even stronger credit performance – leveraging its proprietary, AI-powered credit decisioning platform.

“We’re not just building better financial solutions for doctors – we’re building the financial operating system for doctors,” said Tyler Stafford, CFA, CEO and Co-founder of Panacea Financial. “With this fundraise, we’re scaling a platform that is purpose-built to evolve alongside our customers’ needs – from student loans to practice ownership – all within one intelligent ecosystem.”

The Company will use the capital to further expand its vertically integrated digital platform – which currently includes banking, lending, legal, and advisory services – and to accelerate the development of intelligent tools using their proprietary data to personalize and streamline financial decisions for doctors and their practices. These capabilities will further strengthen Panacea’s data advantage and enhance customer experience across every financial product.

As an example, Panacea recently built and launched its Digital Account Opening software, designed specifically for physicians, dentists and veterinarians. Built in-house on its proprietary fiSense platform, this tool allows doctors to open and fund accounts anytime, anywhere, in under three minutes from their mobile devices. This streamlined, frictionless experience reflects a deep understanding of the time constraints and specialized financial needs of doctors and doctor-owned practices.

“What started as a simple idea to help our community has now delivered real value to thousands of doctors and their practices.” said Michael Jerkins, MD, M.Ed, President and Co-founder of Panacea Financial. “But now we are building something much bigger – a complete financial platform solely designed to give doctors the tools they need to succeed.”

“Panacea is the leader in financial services for doctors and practice finance,” said Andrew McCormack at Valar Ventures. “We have led multiple funding rounds in the Company; this reflects the strong conviction we have in their vision and their ability to execute. Their focus, creativity, and disciplined growth make them one of the standouts in vertical fintech.”

About Panacea Financial

Panacea Financial Holdings, Inc., is a financial technology company dedicated to providing world class financial services for physicians, dentists and veterinarians throughout all stages of their training and practice.

About Valar Ventures

Valar Ventures is a venture capital fund based in New York, NY. The firm seeks out exceptionally talented teams and invests globally in high-margin, fast-growing financial technology companies that are pursuing huge market opportunities such as Xero, Wise (formerly TransferWise), N26, BlockFi, Bitpanda, Qonto, Stash, Bestow, Taxfix, Neo, Mondu and Moss.