Azalea Health, a 2015 ATDC Signature graduate company, said it closed its $10.5 million Series B funding round. The round was led by Kayne Partners, the growth private equity group of Kayne Anderson Capital Advisors, L.P., an alternative investment firm managing over $22.5 billion in assets. Existing Azalea investor Intersouth Partners, a venture capital firm in Durham, N.C., also participated in the round.
“Kayne strives to identify companies with unrivaled competitive advantages in fast-growing industries which are led by exceptionally strong management teams. Azalea is solving unique healthcare access and delivery needs in the U.S. rural healthcare market. We recognize this is a significant growth opportunity for Azalea and believe they are uniquely positioned to take advantage of these opportunities,” said Nishita Cummings, partner, Kayne Partners. Cummings will join the board of Azalea Health.
Azalea Health is a leading provider of fully integrated, technology-enabled healthcare solutions and Revenue Cycle Enhancement™ services for practices of all sizes and most specialties. “The additional capital allows us to rapidly advance organic growth and consolidate the market through acquisition,” said Justin Pierce, Azalea Health’s vice president of sales.
“We are very pleased with this opportunity to partner with Kayne Anderson, a like-minded, technically focused equity provider that has a strong track record within the health IT space,” said Baha Zeidan, Azalea Health’s CEO and co-founder.
“Now more than ever, hospitals and physicians need tools that deliver a strong ROI, streamline workflow, and are easy to adopt and use,” Zeidan said. “With payment reforms focused on achieving outcomes and lower costs, healthcare organizations require a comprehensive end-to-end platform that supports every aspect of their practice.”
Azalea Health focuses on rural markets that are traditionally underserved by healthcare technology. The company is able to cost-effectively meet the needs of community and critical access hospitals, including Federally Qualified Health Centers (FQHCs) and Rural Health Clinics (RHCs), as well as their associated physician practices.
Approximately 20 percent of the U.S. population lives in rural areas, but only 10 percent of U.S. physicians practice there. This disparity creates unique healthcare access and delivery challenges for patients, caregivers, and physicians, ultimately resulting in significant costs to the healthcare system.
Azalea Health is the first company to fully integrate telehealth capabilities within its technology-enabled solutions platform, which includes integrated electronic health records (EHR), practice management, electronic prescribing, interoperability services, personal health records, patient portal, Azalea M™ mobile platform integrated with Apple® HealthKit and Revenue Cycle Performance™ services.
Founded in 2008, Atlanta-based Azalea Health serves customers nationwide. By using true cloud-based technology, Azalea eliminates the need to manage hardware and software, while reducing the complexity and cost of EHR technology.