Minneapolis-based primary care clinic RetraceHealth has secured an undisclosed amount of funding. The investors included Blue Cross and Blue Shield of Minnesota, HealthEast Care System and McKesson Ventures.
RetraceHealth, a startup company that provides full-service primary care through in-home and video visits, announced today that it has closed an early-stage investment funding round with Blue Cross and Blue Shield of Minnesota (Blue Cross), HealthEast Care System (Minnesota), and McKesson Ventures. The funding will enable RetraceHealth to continue to expand its reach in an effort to provide even more people with access to meaningful, long-term, relationship-based care.
“Everything RetraceHealth does is focused on creating a system where care makes sense for the patient,” says Thompson Aderinkomi, founder and CEO of RetraceHealth. “Our ultimate goal is to change how primary care is financed and delivered to make it more affordable, personal, and accessible to all.”
The vision expressed by Thompson is shared by RetraceHealth’s investors, who are well aware of the challenges facing healthcare today, and who look to RetraceHealth as a potential opportunity for their own businesses.
“RetraceHealth has become a trusted partner, and we are excited about the opportunity to offer its technology-based, accessible care options,” said Kathryn Correia, president and CEO of HealthEast. “We believe RetraceHealth will work closely with our own primary care clinicians to provide seamless care for our employees and their families.”
John Uribe, vice president of business development at Blue Cross and Blue Shield of Minnesota sees benefits as well. “By offering primary care in a convenient setting, RetraceHealth seeks to improve the overall patient experience and remove barriers that prevent people from seeking regular, timely care. We are proud to provide growth funding to such an innovative company and are excited about our plans to bring RetraceHealth into our provider network later this year.”
Looking to the future
Thompson Aderinkomi founded RetraceHealth in October 2013 after a frustrating and costly healthcare experience with his own family. His goal was to remove the confusing and overly complex aspects of primary care that he faced, leaving only a pure patient-focused experience behind – an approach that has struck a chord with many notable MN-based companies.
Over the past year, RetraceHealth has seen steady growth in both the number of employer clients and area of service (now reaching nearly all of Minnesota). And with a number of new contracts set to take effect in 2016 coupled with impending in-network status with a few major insurers, patient growth is set to accelerate in 2016.
RetraceHealth will use the funds raised to bring their relationship-based care experience to both their growing number of patients in Minnesota as well as to new geographic areas outside the state.
“RetraceHealth’s model is not only scalable and comprehensive, but it also addresses essential consumer issues that plague the healthcare system – by providing lower cost and better, more personal care,” said Tom Rodgers, senior vice president and managing director of McKesson Ventures. “RetraceHealth offers consumers the primary care convenience they want and is evolving into a truly comprehensive suite of services.”
New investors joining previous RetraceHealth angel investors include: Julie Causey, executive committee and audit committee chair of the HealthEast Care System; Abir Sen, founder of Definity; RedBrickHealth; BloomHealth; and Gravie; and Jeff Smedsrud, co-founder and CEO of Healthcare.com. RetraceHealth’s Board of Directors includes Linda Hall, former CEO of MinuteClinic; Kyle Rolfing, founder of Definity and RedBrickHealth; and Doug Davenport, senior vice president and chief financial officer of HealthEast.
RetraceHealth has re-imagined primary care by blending modern technological advancements with the old-world charm and convenience of a house call. The result is an extraordinary care experience in which patients get direct access to clinical professionals they know and trust. It is full-service primary care when and where the patient wants it.
HealthEast (healtheast.org) is the leading health care provider in the Twin Cities East Metro area. From prevention to cure, HealthEast meets the needs of the community with family health and specialty programs that span four hospitals – Bethesda Hospital, St. John’s Hospital, St. Joseph’s Hospital and Woodwinds Health Campus – plus 14 clinics, home care and medical transportation. HealthEast has nearly 7,500 employees and nearly 850 physicians on staff. Its focus is optimal health and well-being for its patients, communities and employees.
About Blue Cross and Blue Shield of Minnesota
Blue Cross and Blue Shield of Minnesota, with headquarters in the St. Paul suburb of Eagan, was chartered in 1933 as Minnesota’s first health plan and continues to carry out its charter mission today: to promote a wider, more economical and timely availability of health services for the people of Minnesota. A nonprofit, taxable organization, Blue Cross is the largest health plan based in Minnesota, covering 2.6 million members in Minnesota and nationally through its health plans or plans administered by its affiliated companies. Blue Cross and Blue Shield of Minnesota is an independent licensee of the Blue Cross and Blue Shield Association, headquartered in Chicago. Go to bluecrossmn.com to learn more.
About McKesson Ventures
McKesson Ventures is the venture capital arm of McKesson Corporation specializing in early and growth stage companies. McKesson Ventures targets companies that both catalyze and benefit from the key changes taking place in the U.S. health care landscape. McKesson Corporation, currently ranked 11th on the FORTUNE 500, is a health care services and information technology company dedicated to making the business of health care run better. We work with payers, hospitals, physician offices, pharmacies, pharmaceutical companies, and others across the spectrum of care to build healthier organizations that help deliver better care to patients in every setting. Visit www.mckessonventures.com to learn more.