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August 11, 2022

Fast-growing Farmington medtech startup to be acquired by national firm

HBJ FILE PHOTO Diameter Health CEO Eric Rosow in the company’s Farmington office.

A national real-time health information network, Availity, has announced that it will acquire Farmington-based Diameter Health, one of Greater Hartford’s most successful tech startups.

Availity, which facilitates clinical, administrative and financial transactions, said the acquisition will help it achieve healthcare data interoperability.

Diameter Health provides data analytics services that help healthcare customers consolidate and better assess clinical data. Its customers include national and regional health plans, healthcare technology developers, government entities, insurtech providers and health information exchanges. 

The company was founded by Eric Rosow about eight years ago and has been growing in recent years. In February, HBJ reported that Diameter Health grew its workforce by 25% in 2021 with plans to soon pass the 100-employee mark

It had raised $30 million in venture funding and got its start at the UConn Technology Incubator Program in Farmington before moving out on its own.

Availity plans to integrate Diameter technology into its existing tech platform.

Availity said it expects the deal to close in the third quarter. 

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