Staff Report

Apixio (San Mateo, California), a firm that does big data analytics for healthcare, reported that Bain Capital Ventures, along with several angel investors, have invested a total of $13.5 million to acquire minority stakes in the company. Shawn Dastmalchi, CEO and co-founder of Apixio, said the proceeds will be used to ramp up the company's sales and operations to support the growth the company is experiencing in its risk adjustments business. He said Apixio also plans to further develop its big data technology.

According to the company, the need for accurate and efficient reporting of member risk scores is on the rise due to steady growth in Medicare Advantage plan enrollment, combined with increasing audit pressure from the Centers for Medicare and Medicaid Services. In addition, the Affordable Care Act requires commercial health insurance plans to maintain accurate risk adjustment data for their small group and individual plan members, further expanding the demand for risk adjustment solutions, Apixio said. Ultimately, as value-based payment models gain broader adoption, risk adjustment solutions will become the foundation for both how payment is determined and how patient care outcomes are tracked, according to the firm.

Apixio said its solutions enable health plans and large provider groups to more accurately and efficiently determine member risk scores and receive appropriate value-based reimbursement.

In other financing activity, Guided Therapeutics (Norcross, Georgia) said it has issued and sold to Magna Group affiliate Hanover Holdings I the final $2 million in principal amount of senior convertible notes under an agreement that Guided Therapeutics and Magna signed in April. The company said it intends to use the proceeds for general corporate purposes, including to support manufacturing and marketing of its LuViva advanced cervical scan. //