Medsphere offers a suite of healthcare IT products including CareVue (an integrated inpatient EHR), RCM Cloud (end-to-end revenue cycle management), and the ChartLogic ambulatory suite, plus services through Phoenix Health Systems and a Government Services division. Its products target a wide range of providers— inpatient and ambulatory facilities, behavioral health hospitals, specialty clinics and multi-facility systems—regardless of size or budget. The company has grown subscription revenue by over 400 percent in the past four years, achieving a compounded annual growth rate of over 50 percent. Medsphere emphasizes responsive customer service to attract new clients and sell incremental products to its existing base. With the new capital, the company plans to support continued organic growth and pursue opportunistic strategic acquisitions. Medsphere was founded in 2002 and is based in Carlsbad, Calif. Medsphere Systems Corporation, founded in 2002 and based in Carlsbad, Calif., provides affordable, interoperable healthcare IT solutions and services for inpatient and ambulatory facilities. Its core product suite includes the CareVue EHR for inpatient facilities, ChartLogic for clinics, and RCM Cloud for revenue and back-office management, complemented by vendor-independent consulting and IT services through its Phoenix Health Systems division. Medsphere delivers its solutions via a subscription-based, cloud-capable model intended to reduce financial and technological burdens for hospitals, clinics, behavioral health facilities, and multi-facility systems. The company reported subscription revenue grew 46 percent in 2017 and said it was on track for significant growth in the current year. Medsphere plans to use new financing to support accelerating demand, pursue strategic acquisitions, hire additional team members, and further develop and deploy its solutions. Medsphere develops affordable, interoperable healthcare IT products centered on its CareVue electronic health record platform and related services. In 2017 the company launched CareVue Cloud to offer remote hosting and eliminated the need for onsite hardware and data centers. Medsphere acquired Stockell Healthcare Systems in 2017, adding full revenue cycle, billing and patient accounting capabilities to its CareVue offering. The company reported a 45% increase in subscription revenue for 2017 following a 48% revenue growth rate in 2016, and has expanded financial support and its client base to meet demand. Other company divisions include ChartLogic (ambulatory EHR and RCM), Phoenix Health Systems (IT consulting and outsourcing) and a Government Services division applying VA VistA expertise. CareVue achieved 2015 Edition ONC Certification, and Phoenix Health Systems was recognized by Black Book Research as the top firm for comprehensive hospital IT outsourcing. Medsphere Systems Corporation provides affordable and interoperable electronic health record (EHR) solutions, primarily through its OpenVista portfolio. OpenVista leverages the Department of Veterans Affairs' VistA EHR and targets acute and behavioral health hospitals, clinics, and physician practices. The company says OpenVista helps reduce the cost of managing patient health information and lowers overall healthcare costs by addressing medication administration issues and duplicate testing. Founded in 2002 and based in Carlsbad, California, Medsphere describes itself as a team of clinical and technology professionals working to make quality health IT accessible to organizations of virtually any size. Management plans to grow the customer base and expand the product menu and reports a strong pipeline of potential opportunities. Medsphere recently secured a $7.5 million venture loan to support working capital needs. Medsphere Systems is an open-source electronic health records provider based in Carlsbad, Calif., that adapts VistA — the Veteran Health Administration’s electronic medical records system — for commercial use. Its OpenVista product is positioned as a lower-cost alternative for budget-conscious hospitals and is used by about 20,000 people and 2,500 doctors. The company said it raised $12 million to meet demand from hospitals racing to qualify for federal stimulus funds tied to electronic records adoption. The federal government has promised $19 billion in stimulus funds for hospitals that make the transition by 2011 and will penalize noncompliant hospitals starting in 2015, which is driving demand. Medsphere’s business centers on deploying and supporting OpenVista implementations for hospitals that prefer an open-source route to replace paper records. The article does not disclose revenue or profitability figures.

Total raised

$122M

Funding rounds

5

Latest round

Equity

Latest activity

Jan 2020