Candid Health Raises $120 Million in Series D for AI Revenue Cycle Management Platform

Candid Health has secured $120 million in Series D funding to advance its revenue cycle management platform.

Headquartered in San Francisco, the platform serves medical groups, managed service organizations, and digital health companies. The company’s AI-powered system automates medical billing and health insurance claims, helping providers get paid more accurately and quickly. It currently supports more than 200 healthcare organizations, including Talkiatry, Tia, Luna, Cortica, and Nourish.

“Candid powers the financial infrastructure for many of the most important and innovative healthcare organizations in the United States,” said Nick Perry, co-founder and CEO of Candid Health, in a statement. “Legacy players have not kept pace, and companies merely sprinkling AI on top of existing systems have yet to deliver meaningful results. We have spent the past seven years rebuilding the core infrastructure of this problem space from the ground up.”

The Series D round was led by Sixth Street Growth, with participation from Oak HC/FT, 8VC, and Y Combinator. This follows a $52.5 million Series C raise led by Oak HC/FT in February 2025. Overall, Candid Health has raised approximately $219 million.

According to Sixth Street Growth, Candid Health is addressing an unmet need in the revenue cycle management space.

“Candid is solving major structural challenges in healthcare revenue cycle management with modern, AI-powered infrastructure that drives meaningful efficiency across the system. We believe Candid’s platform is well-positioned to become the foundational infrastructure for the future of healthcare RCM over the long term. During our diligence, we heard exceptional feedback from customers regarding the Candid team’s deep focus on delivering results, and we are excited to partner with them for their next chapter of growth,” said Alex Katz, managing director at Sixth Street Growth, in a statement to MedCity News.

The funding will support continued investment in automation, accelerate the development of agentic RCM solutions, and expand the company’s team, Candid Health stated.

The announcement arrives at a time when roughly $280 billion is spent annually on healthcare revenue cycle management. Candid Health aims to reduce these costs.

“American healthcare is too expensive, and it is untenable. We want to reduce the amount of back-end inefficiency and waste in American healthcare. We want to empower providers to spend more time focusing on patient care,” said Doug Proctor, co-founder and COO of Candid Health, in a statement to MedCity News.

Photo: Andriy Onufriyenko, Getty Images

Source link