TEL AVIV, Israel--(BUSINESS WIRE)--QuantHealth, an AI-powered clinical trial design startup, today announced that it has raised a $15 million Series A funding round co-led by Bertelsmann Investments and Pitango HealthTech, with participation from existing investors Shoni Top Ventures and Nina Capital. Previous investors include Boston Millennia Partners, Atooro Fund, and Renegade Ventures. QuantHealth has received $20M in external funding to date.
Over 90 percent of drugs that make it to clinical trials fail to make it to market, amounting to a $50B waste each year. This happens because there are major gaps in the research needed to support clinical trials. QuantHealth bridges these gaps by simulating trials at scale, to expedite, derisk, and optimize drug development. Armed with a proprietary AI technology trained on a massive dataset of 350 million patients, large biomedical knowledge-graphs, and clinical trial data, QuantHealth’s groundbreaking technology can predict trial outcomes with 86% accuracy. QuantHealth proudly supports several large pharma companies, numerous biotechs, as well as CROs, and other industry partners.
“According to a recent Deloitte article, ROI on pharma R&D has steadily declined, reaching 1.2 percent in 2022, the lowest the industry has seen in decades,” said Orr Inbar, CEO and Co-Founder of QuantHealth. “This decline is happening at a time when the need for efficient drug development has never been greater. We firmly believe that deep AI solutions like ours will dramatically enhance the success of clinical trials, and pave the way towards better and cheaper therapies for patients around the world.”
QuantHealth’s Series A funding round comes on the heels of the company announcing its expansion into the U.S. market, along with a series of executive appointments including David Dornstreich as Chief Commercial Officer and Co-Founder Arnon Horev as Chief Strategy and Operations Officer. The new funding will be used for commercial expansion, product development and expansion of the platform beyond clinical trials and into new use cases including regulatory support, and early R&D.
“We are very pleased to co-invest in QuantHealth alongside Pitango and to further expand our growth unit Bertelsmann Next with an investment focus on Digital Health,” said Thorsten Wirkes at Bertelsmann Investments. “The impressive AI technologies of QuantHealth have proven to save pharmaceutical companies millions, helping them bring drugs to market quicker and get patients the treatments they need.”
“We are excited to double down on our backing of entrepreneurs Orr Inbar and Arnon Horev, and to co-lead this round, as the QuantHealth solution has rapidly been endorsed and adopted by industry, and the company is experiencing huge commercial growth,” said Ittai Harel, Managing Partner at Pitango HealthTech. “We see a great need in the sector, and a shift in how pharma and biotech companies consume and innovate with AI with platforms such as QuantHealth, and we expect that shift to accelerate.”
About QuantHealth
90% of drugs fail the clinical stage, representing a direct $50B annual waste to pharma companies. To address this challenge at its core, QuantHealth's Clinical-Simulator predicts how each patient in a clinical trial will respond to treatment, allowing trial design teams to run thousands of protocol variations, and optimize the trial design for success. Based on its novel AI engine trained on a massive dataset of 350m patients and a rich biomedical knowledge-graph, QuantHealth's simulator can predict clinical trial results with 86% accuracy, allowing users to answer mission critical questions around trial design, indication selection, asset evaluation, and more. QuantHealth was founded by healthcare experts who led commercial, product, and data science at leading companies in the US and Israel. QuantHealth is backed by expert Life-Science investors from the US, Europe and Israel, and is supported by an advisory board of physicians and scientists from leading academic institutions.
