Waystar buys Iodine Software, McGraw Hill launches Sharpen Advantage, and Star Therapeutics raises $125M

Healthtech and edtech are two of the fastest growing sectors, with the healthtech market size to reach $3.1 billion by 2033, while the global education technology market size is projected to reach $348.41 billion by 2030.

Each week will do a roundup of the top news, fundings, and IPOs from these two sectors.

Top News  

• Waystar completed its acquisition of Iodine Software, first announced in July, for $1.25 billion. It will combine one of the industry’s largest financial datasets with one of the largest clinical datasets and Iodine’s client base of more than 1,000 hospitals and health systems expands Waystar’s total addressable market by over 15%
• McGraw Hill launched Sharpen Advantage, a new AI-powered enterprise offering that expands the company’s popular Sharpen study app into a custom solution built for higher education institutions

AI News

• The NHS launched a new National Commission that’s been tasked with advising the Medicines and Healthcare products Regulatory Agency on how to re-write the regulatory rulebook on AI in healthcare, which will be published next year. The UK National Commission on the Regulation of AI in Healthcare will bring in experts from big tech companies – like Google and Microsoft – as well as clinicians, researchers and patient advocate
• The Rehabilitation and Community Providers Association partnered with Clinically AI, a provider of AI-powered clinical documentation, compliance, and governance solutions for behavioral health and intellectual/developmental disability providers
• Cibolo Health, a company building clinically integrated networks for rural and independent hospitals, partnered with Avo, an AI-engine used by healthcare organizations to improve care and operational outcomes,to provide member hospitals and clinics with a suite of AI solutions
• Datavant, a data collaboration platform trusted for healthcare, acquired DigitalOwl, a provider of AI-driven medical data analysis
• CareCloud, a provider of AI-driven healthcare technology solutions for hospitals, integrated health systems, and medical practice, acquired MAP App, a hospital benchmarking tool
• Ignite Reading, a Science of Reading-based virtual tutoring program, acquired Esteam, a provider of AI and automatic speech recognition

Late Stage Fundings:

Healthtech:

• Star Therapeutics, a clinical stage biotechnology company discovering and developing antibodies for bleeding disorders and other diseases, raised a $125 million Series D financing co-led by Sanofi Ventures and Viking Global Investors with participation from both existing and other new investors, including Janus Henderson Investors, Frazier Life Sciences and GordonMD Global Investments. Existing investors include Agent Capital, Blue Owl Capital, Catalio Capital Management, Cormorant Asset Management, New Leaf Venture Partners, NYBC Ventures, OrbiMed, Qatar Investment Authority (QIA), RA Capital Management, Redmile Group, Sofinnova Investments, Soleus Capital and Westlake BioPartners
• Full-Life Technologies, a fully-integrated global radiotherapeutics company, raised a $77 million Series C, comprised of close to $50 million Series C equity and $27 million debt financing, led by Junson Capital along with new investors Lapam Capital, Plaisance, TruMed Investment and other prestigious investors, as well as existing shareholders Chengwei Capital, Gordian Ventures, HSG, Prosperity7, Summer Capital and other shareholders
• Midi, which provides virtual care for perimenopause, menopause, and other midlife women’s health conditions, raised $50 million in a Series C round led by Advance Venture Partners

Edtech

• Edflex, a corporate digital training platform, raised an $18 million fundraising round from Bpifrance via its Digital Venture fund and from its historical investors Educapital, Ternel, and Wille Finance

Early Stage Fundings  

Healthtech:

• Assort Health, a patient experience platform powered by specialty-specific agentic AI, raised a $76 million Series B financing round led by Lightspeed Venture Partners, with investments by Felicis, First Round Capital, Chemistry, A*, Liquid2, and Quiet Capital
• Neura Health, a virtual neurology clinic improving access and quality of care for patients with chronic conditions, raised an $11.4 million Series A funding round led by the American Heart Association’s Go Red for Women Venture Fund, along with Norwest Venture Partners, Koch Disruptive Technologies, Esplanade Ventures, Pear VC, Correlation Ventures, and E12 Ventures
• Crystalys Therapeutics, a clinical-stage biopharmaceutical company on a mission of addressing the significant unmet medical needs of people living with gout, raised a $205 million Series A round co-led by Novo Holdings, SR One and Catalys Pacific with participation from Perceptive Xontogeny Venture Funds, Lightstone Ventures, AN Venture Partners, funds managed by abrdn Inc., KB Investments, Pontifax, Longwood Fund, Alexandria Venture Investments, Wedbush Healthcare Partners and Prebys Ventures Fund
• Glyphic Bio, developer of a next-gen single-molecule protein sequencing platform powered by AI to generate de novo proteomic data, raised $38 million in Series A funding from FoundersX Ventures
• Simple, an AI-powered health coaching app that helps people lose weight, raised $35 million in Series B funding led by HartBeat Ventures
• SureCo, an Individual Coverage Health Reimbursement Arrangement administrator focused on companies with at least 200 employees, raised a $23 million Series A funding round led by Health Velocity Capital, with participation from Kaiser Permanente Ventures
• RDS, developer of a remote monitoring medical device, raised a $16.6 million Series A funding round led by Sociétés de Projets Industriels fund, with Critical Path Ventures also taking a new stake. MACSF, Capital Grand Est and other historical investors also contributed
• DermaSensor, a medical device technology company transforming skin cancer detection for frontline care, raised $16 million in Series B funding from Pier 70 Ventures, Kern Venture Group, GenHenn Capital, and an undisclosed strategic investor
• StratifAI, an AI biomarker company for precision oncology, raised €12.5 million in a round led by Picus Capital, with co-lead Alven, alongside Heliad, Rubin Ritter, Lars Langusch, and Jens Begemann. Existing backers Debiopharm, Arve Capital, Christoph Haarburger also joined
• Folia Health, a patient-driven health company and developer of home-reported outcomes, raised $10.5 million in Series A funding round led by S3 Ventures, alongside Crosslink Capital and Create Health Ventures
• Confido Health, developer of AI-powered voice agents built specifically for healthcare, raised a $10 million Series A round led by Blume Ventures, with participation from new investors such as Schema Ventures, Vicus Ventures and also existing investors Together Fund, DeVC, and Medmountain Ventures, as well as strategic healthcare operators from Innovaccer, Memora Health, and a roster of Confido customers
• Koda Health, a digital health company building an AI-enhanced patient decision support platform, raised a $7 million Series A funding round led by Evidenced, with participation from Mudita Venture Partners, Techstars, and Texas Medical Center
• Mamaya Health, a digital health company focused on behavioral healthcare for women and their familes, raised $3 million in a Series A round led by LFE Capital, with participation from Spitha Capital and other investors

Edtech:

• MyEdSpace, a provider of AI-powered learning tools, raised €12.8 million in a Series A funding round led by White Star Capital with participation from Educapital, Emerge, Active Partners, and Coalition Capital
• EdSights, an AI-powered student voice platform, raised $80 million from JMI Equity

Seed Fundings  

Healthtech:

• Aspyr Living, a developer of safe, natural, and effective home, laundry and personal care products, raised a $3 million seed funding round, including a $250,000 lead investment from RJD Green
• Kihealth, a precision diagnostics company pioneering early disease detection, raised a $5 million seed round from undisclosed investors
• Clear.bio, which helps people manage type-2 diabetes through a fully personalised diet plan based on individual glucose data. raised €1.7 million from Horizon Flevoland, Future Food Fund, Invest International’s Dutch Trade & Investment Fund, and several angel investors
• Ansana, a company transforming surgical instrument sterilization, raised a €1.5 million seed round from NLC Health Ventures, Healthliant Ventures, BGO Ventures, and a group of private investors
• Plazza, an app focused on delivering medicines and health products rapidly, raised $1.4 million in a funding round led by All In Capital as well as Better Capital, Abhishek Goyal, Vivekananda Hallekere, the Singhania family office, and the promoters of JK Tyre
• Spark Spine, a medical device company developing next-generation technologies to accelerate healing and regeneration following spinal and orthopedic trauma, raised an undisclosed amount of funding from Scrub Capital

Edtech:

• Axiom Math, which is building a self-improving superintelligent reasoner, starting with an AI mathematician, raised $64 million in a seed funding round led by B Capital, with participation from Greycroft, Madrona and Menlo Ventures

Policy and government

• President Trump announced a deal with Pfizer to sell its drugs directly to consumers at discounted prices. They’ll be available through a website operated by the federal government called TrumpRx.gov. He said similar deals with other drugmakers are in the works. The new website is part of a broader initiative the administration says is aimed at bringing prices paid by Americans, including Medicaid patients, more in line with those paid in other developed countries. The idea is sometimes called most-favored-nation pricing. Under the deal, Pfizer agreed to charge the same price for new drugs in developed countries and the U.S.
• The White House asked nine major universities to commit to President Donald Trump’s political priorities in exchange for more favorable access to federal money. A document sent to the universities encourages them to adopt the White House’s vision for America’s campuses, with commitments to accept the government’s priorities on admissions, women’s sports, free speech, student discipline and college affordability, among other topics. Signing on would give universities “multiple positive benefits,” including “substantial and meaningful federal grants” and “increased overhead payments where feasible,” according to a letter sent to universities alongside the compact. The letter calls it a proactive effort as the administration continues to investigate alleged civil rights violations at U.S. campuses

Random news

• Dr. Tanaya Narendra, aka Dr Cuterus as she is more famously known on Instagram, recently revealed an unconventional remedy for period pain on a podcast: “A very effective way of dealing with any kind of pain, not just period pain, is gaali dena,” she said. In other words, let it all out. Curse, swear, vent! She cited a 2009 study from Keele University, led by psychologist Dr Richard Stephens. Participants were asked to dunk their hands in ice-cold water. The group that was allowed to swear could withstand the pain for 30 seconds longer than the group that didn’t. The reason? Swearing lets your brain release stress and aggression, activating the limbic system, and triggering adrenaline and endorphins—the body’s natural painkillers

(Image source: forbes.com)