There's nothing cheap or easy about improving the tech backbone of U.S. hospitals. We have the world's most expensive healthcare system, and all that spending isn't giving us the best outcomes.
That means there's a ton of room for innovation and efficiency in hospital settings, which is the specialty of Austin-based HNI Healthcare. The company, formerly known as Hospitalists Now, offers hospitals software to get real-time analytics and reporting on clinical decisions, as well as consulting and management services.
The company on Tuesday announced it has secured a $65 million commitment from CRG, a healthcare-focused investment firm with offices in Boulder, New York and Houston.
The investment follows HNI's acquisition of Martin Healthcare Group earlier this month. It also comes just 10 months after HNI raised a $32.6 million Series E round led by California-based Bison Capital Asset Management and Austin-based Spindletop Capital.
HNI makes software for physicians to help with workflow, communications and analytics. It also provides consulting and management services. The company was founded by CEO Michael Gonzalez.
"As a healthcare-focused investor, CRG understands the unique aspects of today’s marketplace," Gonzalez said in a news release. "They were thoughtful and pragmatic around financing the continued growth of HNI, which gives us the scale we need to make a positive impact on hospitals and health systems on a national level.”
The HNI funding marks the seventh healthcare services investment from CRG's latest, $1.25 billion fund.
“As the country’s healthcare system continues its shift towards value-based care models, hospitals are being asked to deliver better outcomes at a lower cost,” Scott Li, managing director at CRG, said in a news release. “HNI’s technology-enabled care strategies drive superior results for hospitals and their patients. Using comprehensive management practices and data-rich work flow tools that guide decision making, HNI helps physicians meet and exceed the most critical indicators of hospital quality and financial performance."
Editor's Note: A previous version of this story incorrectly listed Steven Lorenz as the founder of HNI. Lorenz was founder of HRM, which was acquired by HNI in 2015.
