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Reveleer rakes in $65M debt financing for future M&A

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Reveleer, a health insurance risk management SaaS company, raised $65 million in debt financing, CEO Jay Ackerman tells Aaron.

Why it matters: The ongoing shift to value-based care is being supported by tech solutions that help payers and providers better manage risk.

Zoom in: Hercules Capital led the round for Glendale, Calif.-based Reveleer, which has been backed by Oak HC/FT since 2022.

By the numbers: Reveleer finished 2023 with revenue north of $50 million and hopes to double that figure this year, per Ackerman.

What's next: "We would like to do one to two acquisitions this year," Ackerman says. "If we don't get one done, then something's not working."

  • Reveleer will seek buys similar to the ones it's already made, which include risk adjustment tech platforms Dynamic Healthcare Systems and MDPortals.
  • Ackerman says he's had more than 70 conversations with various prospective targets.

Yes, but: "We are not a roll-up strategy," Ackerman maintains. "We have a well-defined view of what we want an interconnected solution set to look like."

  • "We are committed to driving a holistic expansion strategy encompassing organic and inorganic approaches," says Oak HC/FT partner Andrew Adams.

How it works: Reveleer is designed to help health plans manage and adjust for risk.

  • Leveraging machine learning, the software-as-a-service platform reviews and analyzes medical records to help manage enrollment, provider outreach, data retrieval, reporting and submissions, among other tasks.

Catch up quick: The company has raised more than $100 million to date, per PitchBook.

Zoom out: According to Ackerman, there are no exit plans anytime soon.

  • "We have no intentions to sell to a strategic," he says. "We have a clear strategy, a seasoned team, and are excited to execute on it independently."
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