Farmington’s Diameter Health raises $9.6M

HBJ PHOTO | Steve Laschever Eric Rosow, CEO of Farmington-based Diameter Health, talks with staff. The firm is part of the state's growing health-tech sector.

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By Joe Cooper

Farmington medical-technology firm Diameter Health says it raised $9.6 million in its latest funding round.

Diameter Health, which helps health information exchanges, IT vendors and care providers and payers consolidate and better evaluate clinical data, on Tuesday announced its recent funding round was led by new investor Optum Ventures, an independent venture fund of Minnesota-based Optum, a pharmacy benefit unit of UnitedHealth Group, both of which have a sizable presence in Greater Hartford.

Officials say the latest funding will help Diameter Health continue to grow its operations, including improving cloud delivery and other commercial resources.

“The volume of clinical data being exchanged has grown exponentially over the last decade, and players across the healthcare ecosystem are grappling with how to make this influx a useful and valuable asset,” said Diameter CEO and Founder Eric Rosow.

With the investment, Optum Ventures now joins existing Diameter Health investors Connecticut Innovations, the state’s quasi-public venture capital arm, Activate Venture Partners, Excelerate Health Ventures and LRV Health.

Optum has been competing with hospitals in recent years to amass physicians, according to Bloomberg, which said last year the company had 30,000 employed or affiliated doctors. The company was also slated to add thousands more through its acquisition of Davita Medical Group.