IMCS Group, a telehealth firm in St. Petersburg, and DataLink Software, a healthcare technology company in Tampa, have each received capital infusions from investors.
The latest funding rounds show that investors continue to be bullish about the healthtech field. A March report from Deloitte Insights said innovators pumped more than $7.4 billion into healthtech companies in 2019.
The Hartford Investment Management Co., or HIMCO, invested an undisclosed amount in IMCS Group. IMCS Group, which has a national network of 1,400 psychologists, psychiatrists and licensed clinical social workers, said it would use the funding to expand its evidence-based behavioral therapy programs, which allow workers to return to work more quickly and have more positive treatment options.
The new funding follows an $8 million investment in July by HLM Venture Partners, .406 Ventures and Centripetal Capital Partners.
“This capital will accelerate our efforts to attract the best talent, enhance our technology platform, and scale our already proven methodologies in cognitive behavioral therapy,” Lori Daugherty, IMCS Group CEO, said in a news release.
IMCS and the services it provides have become even more important during the Covid-19 pandemic, said Jill Frankle, HIMCO vice president.
“We see significant value in the cognitive behavioral therapy services that IMCS Group provides because they are not only helping employees return to work quickly and safely, they are also keeping employees healthy and productive,” Frankle said.
HIMCO is a subsidiary of The Hartford Financial Services Group Inc. (NYSE: HIG).
“As a leading workers’ compensation insurer, The Hartford will provide IMCS with key industry insights and innovative thinking. We look forward to supporting their mission to underwrite human achievement,” said Liam Donohue, founding partner, .406 Ventures.
There’s plenty of opportunity ahead, said Vin Fabiani, partner at HLM Venture Partners and a member of the board at IMCS.
“Many states are now classifying stress and post-traumatic stress disorder (PTSD) as stand-alone workers’ compensation disabilities, especially among first responders and frontline workers, many of whom are on the frontlines battling the COVID-19 pandemic,” Fabiani said.
DataLink Software received an undisclosed amount of growth equity capital from an investor group led by the private equity business at DWS Group.
DataLink, which provides performance management software, said it would use the funding to bolster its provider engagement services and pursue strategic merger and acquisitions initiatives. DataLink is focused on acquisitions that enhance product functionality to benefit new and existing customers, a news release said.
The latest funding follows a 2018 investment by Revelstoke Capital Partners. Since that investment, DataLink has more than tripled its revenue and expanded the population base it serves, said Kevin Steele, CEO.
DataLink’s technology aggregates data, giving insurance companies and healthcare providers a real-time view of patient care. The company said its software breaks through communication barriers present at all levels of the healthcare industry, delivers more clinical control and insight to payors, managed service organizations, and medical practices, and improves patient outcomes with maximal operational efficiency.
Under the leadership of Steele and his team, DataLink has become a leading Software-as-a-Service platform that’s improved care for more than 10 million patients, said Russell Cassella, managing partner at Revelstoke.
“We are thrilled to partner with Revelstoke and DataLink’s entire management team as we continue to build a premier, comprehensive population health platform. DataLink is well-positioned for continued growth as the leading platform for managing an increasingly complex healthcare ecosystem,” said Kumber Husain, head of Private Equity, Americas for DWS.
DataLink also said it has received a senior secured credit facility led by Varagon Capital Partners, with participation from Comvest Partners and BC Partners Credit. That funding also will be used for potential acquisitions.
McGuireWoods LLP acted as legal counsel to DataLink.