Fourteen months after canceling a SPAC deal that would have helped solidify its FFRCT leadership and drive its expansion across the overall CCTA AI segment, HeartFlow landed a $215M Series F round to help make those goals a reality.
Best known for its CCTA AI-based FFRct Analysis solution and widespread payor coverage (FFRCT is now covered by 100% of Medicare and >98% of payers), HeartFlow became far more diversified last year through the FDA clearances of its new coronary Plaque and RoadMap Analysis (stenosis) solutions.
- HeartFlow will use its new capital to amplify those achievements, including commercially scaling its overall CCTA AI portfolio, supporting its clinical evidence efforts, and further expanding its product lineup.
Last week’s $215M Series F brings HeartFlow’s total raise to an estimated $793M, and helps make up for its early-2022 decision to cancel a SPAC IPO that would have theoretically added $709M in capital.
- Given how most healthcare SPAC companies have performed since their IPOs, and the fact that HeartFlow’s Series F is now official, staying private seems to have proved to be a smart decision.
HeartFlow and other cardiovascular startups have captured a disproportionate share of recent imaging AI funding, as last week’s massive round was preceded by sizable raises from Cleerly ($223M Series C), Elucid ($27M Series B), and Us2.ai ($15M Series A) since early 2022.
- During the same period, Circle CVI gained private equity backing via a $213M acquisition and two of the largest imaging AI vendors (Aidoc & Viz.ai) significantly increased their focus on cardiology.
The factors driving those cardiovascular AI investments (cardiac CT growth, guideline support, AI momentum, more reimbursements) also drove a wider field of competitors into the CCTA AI arena, including the first wave of FFRCT-focused AI companies and more companies looking to develop similarly-broad CCTA AI portfolios.
- HeartFlow’s FFRCT first-mover status and large installed base has served as a competitive advantage until now, so it’s no surprise that it plans to use its funding to further scale its commercial operations and expand its product portfolio while many of its competitors are still early-stage.
The Takeaway
With dozens of imaging AI companies still in search of their next funding round, HeartFlow’s Series F is a testament to the opportunities VCs expect from the CCTA AI space and the strength they see in its current market position. With its $215M Series F now complete, HeartFlow can fully capitalize on those cardiac CT opportunities and build upon the product and commercial advantages that earned it its FFRCT leadership position before now.
