Healthcare payments technology company AxiaMed has raised $12.4m in its latest round of funding.
Health Enterprise Partners led the round, with participation also coming from a number of existing backers including Nashville Capital Network.
California-based AxiaMed is a healthcare FinTech platform, providing a SaaS-based payment solution to help hospitals and healthcare organisations. Its Payment Fusion solution supplies a secure payment technology to integrate with a vendor’s own revenue cycle, practice management, EHRs and other software system.
Since the company was founded in 2015, it has witnessed a triple-digit annual growth. Over the past year, the company became one of the first healthcare-focused PCI-validated Point-to-Point encryption solution providers. Its offering enables software partners and healthcare firms to boost their security infrastructure and lower PCI compliance processes.
Capital from the round will be used to increase its product development and the go-to-market strategy. Funds will also be used to bolster its core team and solidify its position within the market.
Health Enterprise Partners principal Ezra Mehlman said, “While many other healthcare payment companies have focused on point solutions, AxiaMed’s innovative payment platform enables and enhances secure patient payment solutions within various healthcare software solutions.
“AxiaMed’s impressive growth and strong customer demand positions the company as a market leader, particularly in the healthcare payment and security categories of revenue cycle technology.”
Earlier in the month, fellow healthcare payments processor Alegeus was acquired by Vista Equity Partners. The deal saw Light Year Capital, which had initially backed Alegeus in 2012, sell its shares in the company.
Alegeus provides an administration platform for healthcare benefit accounts, including FSAs, HSAs, HRAs, wellness incentive, dependent care, and commuter accounts.
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