US-based Panacea Financial has generated US$24.5m in Series B funding to fuel its strategic growth among the doctor community.
The technology-enabled financial services company specialises in providing financial options to doctors and medical practices, and its reach can now be widened significantly thanks to investment from global venture capital fund Valar Ventures.
Panacea: Funding to fuel growth
In addition to fuelling its expansion aims, this latest funding in Panacea enables it to grow its team of professionals, featuring technology, financial services and healthcare experts.
Funds will also be used to provide the doctors' community it serves with an updated, more comprehensive and integrated financial platform.
Tyler Stafford, CFA, CEO and Co-founder of Panacea Financial, says: "We are proud to announce the successful completion of our Series B funding round. Our goal is to build a widely diversified and deeply integrated suite of financial products and services for doctors, their practices, and ultimately the broader healthcare industry.
“We chose Valar Ventures as our partner to help achieve this goal given their unmatched experience helping neobanks and fintechs significantly scale across the globe. I am incredibly proud of what our team has built so far, but I feel like we are just getting started.”
The rise of Panacea Financial
Only launching in 2020 at the start of the COVID-19 pandemic, Panacea has achieved tremendous growth since attaining generally accepted accounting principles (GAAP) profitability for the first time in FY2023.
This path the growth has been achieved through doubled revenues, and the financial services company’s ability to maintain outstanding credit quality.
In just three years, Panacea has provided more than US$450m in total financing to doctors and their practices, becoming the preferred partner for 20 national and state-run medical, dental and veterinary associations across the US.
More significantly, though, Panacea now represents 40% of all active doctors in the US, outstripping its fintech competitors.
With its new investment and sustainable growth, Panacea feels it is close to achieving its goal of becoming the preferred financial services company for the majority of US doctors (over 50%), as it continues to position itself at the intersection of the US healthcare and finance industries.
Andrew McCormack, Founder and Managing Partner at lead investor Valar Ventures, adds: "We're convinced that new ideas can make a difference, especially in areas the traditional industry cannot serve well.
"Valar has invested in financial services globally for many years, and the large investment we are making in Panacea shows the excitement we have in the team’s blend of knowledge of what healthcare professionals care about and the technical skill to use technology to transform financial services in a way that works for doctors."