Startups to Watch: Karoo Health has big raise, patient growth planned in 2024

New Mexico Inno's 2024 Startups to Watch list highlights 10 startups we expect to capture headlines in the year ahead. The New Mexico Inno editorial team picked out the 10 companies through a nomination process and our own research and reporting.

You can read all about these 10 Startups to Watch in the Feb. 2 print edition of Albuquerque Business First. The startups will also be featured individually on the New Mexico Inno site in the coming days.

Heart health is a critical part of the modern health care system. But although hundreds of thousands of people suffer from cardiac conditions annually, the process of caring for cardiovascular patients is often impersonal and leaves people with little information or proper care.

Karoo Health, an Albuquerque-based startup, is bringing more value to the practice of cardiovascular health care with an innovative patient-centered care system.

That system, said Ian Koons, the startup's co-founder and CEO, combines on-site and virtual care teams in partnership with cardiology networks, health plans and health systems.

The system integrates those care teams with cardiology providers, networks, health plans and at-risk primary care groups to improve the patient experience.

It does that by employing experienced cardiovascular health coaches to communicate with patients. Communications are put on an electronic medical record that's then shared with Karoo Health's partnered cardiac health providers to, ultimately, improve patient health and outcomes.

Koons co-founded Karoo alongside Ben Selzer, the startup's chief financial officer, and Chad Moore, who provided Karoo early leadership guidance, in 2021. The startup raised $1 million in a pre-seed round in early 2022 and in mid-2023 pulled in $3.4 million in a seed round. Karoo has raised $6 million to date.

Koons said Karoo could raise a Series A round, typically aimed at scaling proven startups, in mid-2024, as well. That round could be between $15 million to $25 million.

Alongside the potential raise, Karoo wants to expand its value-based care system to more patients throughout 2024. The startup recently completed a proof of concept with several participating cardiac providers. Koons said Karoo could have around 2,000 patients using its system by mid-year, with north of 10,000 by the end of 2024.

While the startup currently employs 13 people full-time, Koons said it could eventually employ upwards of 200 people in New Mexico as it looks to improve an underperforming aspect of the U.S. health care system.