Cera secures $320m funding

Cera (Cera Care Limited), Europe’s largest provider of digital-first home healthcare, today announces that it has raised ~$320m (£260m) in equity and debt to expand from servicing 15,000 to 100,000 at-home patients each day – freeing up NHS beds and boosting the UK’s care capacity by the equivalent of over 50 hospitals. The successful raise cements Cera’s place as the top player in Europe’s digital-first home healthcare market. More broadly, Cera is also one of the fastest growing companies on the continent.

Cera operates in the UK and Germany, delivering care, nursing, telehealth and prescription delivery services in the home supported by technology – around 10-fold more affordable than a patient receiving care in hospital, due to its technology-powered model. Cera’s Carers and Nurses collect patient symptoms and health data during at-home appointments, which its artificial intelligence algorithms use to predict deterioration in conditions before they occur, triggering earlier health interventions to prevent people becoming unwell. This technology has reduced hospitalisation rates by an unprecedented 52%, predicted up to 80% of hospitalisations seven days in advance, reduced patient falls by ~17%, urinary problems by ~47%, infections by ~15% and also helped to improve medication and prescription compliance in older patients by 35%.

The funding comes as NHS hospital waiting lists reach record highs of 6.6 million and the world continues to adapt to living with COVID-19, exacerbating the need for quality, tech-powered care to be provided in the home. Cera’s digital-first home healthcare frees up much-needed hospital beds by supporting the NHS to discharge healthy patients sooner and enabling them to live independently in their own home for longer.

Through a combination of proprietary technology and compassionate carers, Cera has scaled rapidly, achieving 100-fold growth in under three years with now hundreds of millions in annual revenues and currently servicing 15,000 patients per day – the bed capacity equivalent to more than 40 NHS hospitals. The new capital will be used to increase the number of patients in Cera’s care by over 5-fold by 2025, furthering Cera’s mission to empower patients to live longer, healthier lives in their own homes through technology. It will also be used to expand the company’s investment in nursing, telehealth and prescription delivery services, both in the UK and internationally, to provide multiple healthcare services per household. Doing so will reduce hospital waiting times, keep elderly patients out of hospital, and relieve pressure on national health services.

The funding round was led by Cera’s existing investor Kairos HQ, alongside the Vanderbilt University Endowment, Evolve Healthcare Partners alongside Schroders Capital, Jane Street Capital, Yabeo Capital, Squarepoint Capital, Guinness Asset Management, Oltre Impact, 8090 Partners, technology investor Robin Klein and several other international institutional investors. Goldman Sachs International and JPMorgan Securities PLC acted as Placement Agents to Cera for the equity portion of the raise.

Launched in 2016 by Dr Ben Maruthappu MBE, Cera has almost 10,000 employees across the UK and Germany, and holds over 300 contracts with the NHS and local governments. Its advisory board is chaired by Sir David Behan, the former CEO of the Care Quality Commission. Cera’s technology is also used by over 2,000 care businesses that collectively deliver over 1 million at-home appointments per week.

On the fundraise, Dr Ben Maruthappu MBE, CEO and Co-founder of Cera, commented: “Since Cera’s launch in November 2016 the company has scaled at an unprecedented rate for the sector, benefiting countless lives, and proving the need for technology-powered improvement in healthcare. Receiving such significant financial backing during this period of global economic volatility, is testament to the strength of Cera’s business model, our innovation, and our commitment to revolutionising healthcare. We’re now in pole position to be able to use our unique technology to expand what we do for patients across the world who are in need of care, while relieving pressures on public services.”

On Cera’s services, Christine Wand from Suffolk, being cared for by Cera, commented: “Cera has completely changed my life. Managing my health problems has been really difficult, but now that I have a Cera carer and their app, their technology has helped me to really stay on top of my health and wellbeing and it has dramatically improved my outlook on life. My carer is more like a friend – she is so reliable, so friendly and she truly understands me and my needs. My carer also organises my medication which has taken a huge burden off both my shoulders and my families’, and they are able to arrange for me to see a nurse at the click of a button whenever I need to. I truly don’t know what I would do without Cera’s help.”

Tim Creed, Head of Private Equity Investments of Schroders Capital, commented: “Ageing populations, post-pandemic recovery and major staff shortages have created a series of issues facing healthcare providers and governments. Cera’s proposition is proven to deliver results to face down these challenges. Cera’s digital-first home healthcare is a unique offering that we believe must be rolled out far and wide to provide a tangible solution to hospital waiting times, building a bigger carer workforce and to help our elderly communities to receive quality, genuine care. We’re proud to be a partner of Cera, and to play a part in supporting their mission to empower people to live longer, better lives in their own homes through technology.”

Sir David Behan CBE, Chair of Cera’s Advisory Board and former CEO of the Care Quality Commission, commented: “Governments around the world have been searching for solutions to the ongoing challenges in healthcare. Cera’s blend of cutting-edge technology and truly compassionate carers represents the future for health and social care, in the UK and beyond. Cera has already transformed the lives of tens of thousands of people, helped the UK Government to employ carers during the COVID-19 pandemic, and created and implemented technology that gives carers, those they care for and their families peace of mind, while also giving them the freedom to live their lives in the comfort of their own homes. Cera’s Next Chapter will take that further to more people who require care, more countries and with more technology innovations.”