Eight years ago, we invested in the Series A financing (Fund I) in Carefx, and we and our limited partners are about to reap the benefits of the just announced acquisition by Harris Corporation for $155 million. Today’s announcement represents the culmination of almost a decade of hard work by all of the people who have worked at Carefx during that time. When we invested, there were only a handful of people at the company (over 250 today) and they had a few pennies in revenue. We bought into the founders’ (John Brimm, Oscar Diaz, and Terry Macaleer) collective vision of creating a powerful platform that would once and for all provide for interoperability in the incredibly complex and disparate world of healthcare information technology (HIT). John, Oscar and Terry are genuine visionaries and for us, it’s tremendously gratifying to see their foresight and passion rewarded.
Many people we spoke to prior to the investment referred to it as the holy grail of HIT. Something incredibly compelling but somewhat mystical in nature. A lot of things came together over the years that allowed for Carefx to capture the grail. The most significant was a team led by Andy Hurd that was able to take the vision of the founders and make it a reality. Second was a number of other financial partners we helped bring in such as Carlyle Ventures who were able to provide additional expertise and financial support. And the third piece which provided for a strong and steady tailwind was the realization by the industry and our government that one of the key things holding back a successful and low cost healthcare system was the aforementioned interoperability of systems.
This acknowledgement allowed industry participants to invest in the future and pick the best partner in that journey…Carefx. We’d like to tip our hat to the team that made this all happen, and wish them the best as they continue on their mission of making healthcare systems more informed, efficient and collaborative.