PORTLAND — Portland-based iVantage Health Analytics, which provides health care information and business analytics tools, said it has raised $10 million in funding from investment firm Great Point Partners.
The money will be used to expand sales and marketing efforts, increase investment in technology infrastructure, and add personnel, iVantage said.
Currently, iVantage has about 60 employees and expects to add 25 sales and marketing positions as it accelerates its national expansion, said John Morrow, iVantage’s executive vice president and secretary.
The investment gives Great Point Partners, founded in 2003 and based in Greenwich, Conn., a minority investment in iVantage, Morrow said. Specific details of the deal were not disclosed.
In August 2011, iVantage was formed through the merger of four established health care information companies.
The company’s software allows hospitals to sift through massive amounts of data to better track issues such as safety metrics, costs, quality of care and prices, Morrow said. The software also can help hospitals identify areas of waste or inefficiency to cut costs.
“One of the biggest problems hospitals have is that they have too much data and not enough information,” Morrow said. “If hospitals don’t get more efficient, they will be forced to cut back on services.”
Currently, iVantage works with more than 500 hospitals from Maine to Hawaii. With the arrival of the Affordable Care Act, which goes into full effect in 2014, hospitals will be under increased pressure to improve service and quality while reducing costs, Morrow said.
“We’ve been in constant dialogue with hospital executives since the passing of health care reform,” said Brett Carlson, senior vice president at Great Point Partners. “The widespread consensus is that clinical, functional and market analytics are necessary and will provide users significant competitive advantages in navigating the complexities of the new environment.”
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