Berlin-based Caresyntax, which is building an AI-driven data platform for surgery, has raised a $180m Series C extension.
The round is made up of $80m in equity and $100m in debt — and is tied to specific milestones. The fresh funding tops up the startup’s $130m Series C, raised across two rounds in 2021, and takes its total equity funding to $220m.
It’s the latest in a string of big money raises for European startups developing tech for hospital operating theatres as healthcare systems across the globe scramble to increase efficiency amid staff shortages and the rising costs of treating ageing populations.
Caresyntax will use the funds to scale customer adoption in the US and EMEA region, develop AI applications and finance M&A opportunities.
AI for hospitals
Caresyntax says it wants to build the “Android” platform for surgery. Its tech uses AI algorithms to make sense of data collected before, during and after an operation to help surgeons improve patient outcomes, spot risks during procedures and reduce hospitals’ surgery costs by improving efficiency and reducing readmissions.
The company’s platform can pick up on warning signs like drops in heart rate that surgeons might not be aware of during a procedure, for example. It can also streamline operative workflows, inform post-treatment care pathways post-operation and collect 1,000 data points per surgical case.
While some surgical robotics solutions in the market only work with certain products, Caresyntax’s platform can plug into any operating room technology to pull together data, according to a company spokesperson.
“Effectively using AI in the operating room requires input from a wide variety of data sources, but today this data exists in silos where it is difficult for clinicians to access and operationalise,” they add.
If it does what it sets out to do, it’s a big opportunity.
Costs associated with operations account for 30% of healthcare expenditure, a huge sum given that Europe spends 11% of GDP on health.
Founded in 2013 in Germany — Caresyntax also expanded to San Francisco in 2019 — its data platform is currently used in 3k operating rooms globally, in more than 3m surgeries annually, according to the company. 40% of the company’s revenue comes from the Americas and 60% from the EMEA region.
The rise of smart surgery
The round comes on the back of a strong 18 months for startups developing tech for the operating theatre.
Since the start of 2023, three of the four biggest medtech raises have all gone to startups building robots to help surgeons. The UK’s CMR Surgical picked up £165m in September last year, Switzerland’s DistalMotion $150m in April 2023 and Italy’s Medical Microinstruments $110m in February this year.
Investors in Caresyntax’s round include Symbiotic Capital, MTIP AG, BIONIQ Capital, PFM Health Sciences, Pictet Alternative Advisors, surgical.ai, BlackRock Innovation Capital, Aescuvest, Optum Ventures, Cure Capital, Relyens Group, Vesalius Biocapital, Lauxera Capital, Plug & Play Growth Fund and ProAssurance Corp.
Read the orginal article: https://sifted.eu/articles/caresyntax-surgery-tech-raise-news/
