Investment from Healthcare-Focused Capital Partner to Accelerate Company’s Growth, Plus Expansion into New Markets
AUSTIN, Texas, July 26, 2021 /PRNewswire/ — 83bar, Inc., a specialist in patient journey management and developer of patient activation technology that has successfully supported nearly one hundred pharma, diagnostic and medtech development programs, has achieved a new milestone after a five-year period of start-up growth with a major capital infusion to fuel the next phase of its impact in the medical marketing services industry, as well as in the $60 billion clinical trials sector.
HealthQuest Capital, a healthcare-focused venture growth fund that invests in and accelerates innovative, commercial-stage companies, has made an equity investment in 83bar, according to a joint announcement from Robert Baurys, CEO at 83bar and Anthony Williams, Partner at HealthQuest.The transaction includes the equity investment from HealthQuest, as well as a $20 million debt facility from MidCap Financial Trust. Terms of the investment were not disclosed.
83bar posted bookings growth from 2019 to 2020 of 288%. Its end-to-end data capture platform for both clinical trials and commercial clients provides full campaign reporting, analytics, insights, forecasting, and optimization. Data collected on the platform has resulted in a proprietary database of over one million patients who can be specifically targeted for future trials and commercial campaigns across a range of medical indications.
“We were very impressed by the value that 83bar brings to its clients,” said Williams. “The company’s demonstrated ability to identify, locate and direct patients to the care that they most need is truly differentiating, and we believe our partnership with 83bar will help us achieve our mission of improving patient outcomes and reducing healthcare costs,” said Williams, who along with HealthQuest Partner Randy Scott, will join the 83bar board of directors.
83bar has garnered recognition for its Patient Journey and Activation Technology platform that generates patient demand, provides guided education and navigation, then ultimately delivers an appropriate, decision-ready patient to the correct health care solution.
“We now have a solid, proven system that has scheduled 130,000 appointments, facilitated 6.8 million communications, and captured 840,000 completed surveys,” said Dan Maynard, President of 83bar. “We are excited that HealthQuest saw our potential to further expand our capacity and capabilities. We were attracted to HealthQuest’s investment focus on improving patient outcomes and increasing efficiency of delivery. We are excited to be part of their deep healthcare ecosystem.”
“Our technology-enabled distributed contact center of patient education specialists differentiates us as a unique player in the patient journey management space through a more patient-centric approach,” added Sue Hrim, 83bar Chief Clinical Officer.
By becoming part of the HealthQuest portfolio, 83bar can provide support to other commercial stage companies across the healthcare spectrum, including medical devices and technologies, biopharma, diagnostics, digital health, healthcare IT, and services.
H2C Securities Inc. served as the exclusive financial advisor to 83bar and Winstead PC served as counsel to 83bar in this transaction. Wyrick Robbins Yates & Ponton LLP served as counsel to HealthQuest.
About 83bar, Inc.
83bar, Inc. manages the patient journey from symptom to solution. It empowers patients with education to help self-champion and expedite a positive healthcare outcome. The proprietary 4-part LENA (Locate, Evaluate, Navigate & Activate) System delivers ready-to-act patients to medical providers, on behalf of our medical device, medical diagnostics, and medical sciences partners. Over the last 5 years, the company has completed over 1.5 million prospective patient conversations resulting in more than 100,000 successful patient pathway outcomes across more than 25 therapeutic areas and associated diseases. To learn more visit www.83bar.com.
About HealthQuest Capital
Based in the Bay Area, HealthQuest Capital is a growth capital firm investing in commercial-stage companies that are optimizing value in healthcare by improving outcomes and reducing costs. With more than $925 million in capital under management, the firm focuses on fostering innovation across the healthcare spectrum, including medical technologies, diagnostics/tools, digital health and innovative services. The HealthQuest team combines decades of successful investing experience with deep domain expertise in all aspects of the healthcare industry. For more information, visit www.healthquestcapital.com.
About MidCap Financial
MidCap Financial is a middle market focused specialty finance firm that was formed in 2008. As of December 31, 2020, MidCap Financial, and its subsidiaries, provides management or other services for over $29.8 billion of commitments, of which $5 billion is managed by MidCap Financial Services Capital Management, LLC, our registered investment advisor.
MidCap Financial is managed by Apollo Capital Management, L.P., a subsidiary of Apollo Global Management, Inc. pursuant to an investment management agreement. Apollo Global Management, Inc. is one of the world’s largest asset managers with approximately $455.0 billion of assets under management as of December 31, 2020. Loans made or arranged pursuant to a California Finance Lenders Law license.
About H2C Securities Inc.
H2C Securities Inc. served as the exclusive financial advisor to 83bar.