Software maker Olive has raised another $106 million just five months after a $52 million round to supercharge growth of its artificial intelligence-powered bot that automates many health care administrative tasks like checking insurance eligibility.
The cumulative $158 million raised since the coronavirus pandemic began brings the Columbus technology company to a total of $222 million in venture capital since Drive Capital LLC first invested in 2013. Both investments make the top two 2020 VC rounds in Central Ohio to date.
The latest equity round was led by General Catalyst – which also led the April round – and Drive again, with participation by Ascension Ventures, Oak HC/FT and SVB Capital.
Olive has grown to 360 employees, including 67 hires in August alone, growth of 200 jobs since June. Although Columbus remains the company's home base, the pandemic shifted the company to a distributed workforce of smaller employee groups or individuals dotting the continental U.S.
When work-from-home ends, founder and CEO Sean Lane has said he wants no distinction between working from home or in an office.
More than 600 hospitals, including 22 of the 100 biggest health systems, are customers. Greater Cincinnati is home to one of eight Olive AlphaSites, meaning a health system with an onsite center for AI workforce operations, according to the company's website.
Revenue and valuation are not disclosed, but sales tripled in 2019 over 2018, the second year in a row. Still legally named CrossChx Inc., the company rebranded as Olive three years ago.
Although demand for automation increased as hospitals furloughed or laid off workers during the pandemic, Lane's goal has been for Olive to work alongside staffers when they return, allowing for greater productivity and less tedium.
The digital administrative assistant assistant combs data from multiple reports overnight, for example, and handles online chat for scheduling. Covid-19 also prompted requests from hospitals for tasks like tracking inventory of protective equipment for health care workers. Besides insurance and billing, the administrative AI automates tasks in IT, supplies and personnel.
“The AI workforce is the biggest impact to health systems in our lifetime,” Lane said in a news release. “Olive has become a piece of critical infrastructure for hospitals and a trusted, reliable product that expands human capacity at a time when resources are more precious than ever."
General Catalyst, with offices in Silicon Valley and the Boston area, has invested in companies including Airbnb, Stripe and Warby Parker.
The spring round was first announced as $51 million, but increased to $52 million in a subsequent regulatory filing. Of that, $15.7 million was used to convert previous debt financing.
