Pearl Health, a startup that uses AI to help health care providers manage costs and care for Medicare patients, is set to reach profitability in 2025 and has raised $110 million. The financing will be split between a $50 million equity investment led by Andreessen Horowitz and a $60 million line of credit led by Trinity Capital. Viking Global Investors, Alleycorp and Ulysses Capital also participated. Pearl did not disclose its valuation or debt terms.
Pearl builds software for value-based care, a payment model that rewards providers for improving patient outcomes while controlling costs. Its platform analyzes patient data and flags people who may need early care, before symptoms lead to emergency room visits or hospitalizations. The company is also developing AI agents to handle medical check-up appointments, patient follow-up after discharge, and other administrative tasks.
With this offer, Pearl has grown to more than 10,000 providers caring for more than 250,000 Medicare patients in more than 40 states. The company currently manages approximately $3.6 billion in annual healthcare spending, up from $2.4 billion a year ago.
“Pearl’s ability to help providers successfully participate in value-based payment programs, and to do so through technology rather than expanding the clinical workforce, is a testament to both the vision and execution of the Pearl team,” said Vinita Agarwala, general partner at Andreessen Horowitz.
Pearl plans to use the new funding to pursue larger health system and insurance customers, expand into Medicare Advantage, and introduce additional risk-based products. The company expects to triple the number of patients from 2024 to the end of 2026, generating $500 million in total healthcare cost savings.
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