Valley Growth Ventures (VGV) is excited to formally announce our first fund exit with the acquisition of our portfolio company MedPilot merging with New Jersey-based medical technology company Vytalize Health.
Who We Are
Valley Growth Ventures (VGV) is a $6 million "micro" venture capital investment fund created to support high-growth, early-stage companies across the state of Ohio, with a preference for those in the Mahoning Valley. Founded as a strategic collaboration between five regional Mahoning Valley organizations, VGV serves to aid in the growth of companies across Ohio, but particularly to those in the Valley. The Fund leverages the industry expertise, personnel, facilities, talent network, and operations of its investment team and partner organizations to produce high-growth companies and generate substantial returns for investors.
While details of the merger have not been made public, the transaction was finalized on Tuesday, March 9. The acquisition will increase Vytalize Health’s capacity to serve its growing Medicare population by enhancing its infrastructure for Medicare's Direct Contracting program. MedPilot will primarily serve to provide patient engagement solutions for the company’s vertically integrated care delivery system.
MedPilot has helped over 1 million patients and demonstrated a 97% patient satisfaction score. MedPilot's proprietary engagement engine personalizes outreach based on various patient characteristics and then uses machine learning to optimize communications between the healthcare provider and patient.
Since VGV’s initial investment in 2018, the fund has supported MedPilot’s strategic efforts and development by assisting the technology company with customer and partner introductions, marketing support, and business guidance.
"Valley Growth Ventures is very excited for this transaction. It has been a pleasure to work with the MedPilot team as an investor, but also to serve on the company's Board of Directors. This is the first exit for the fund which is a significant milestone. We look forward to the great things the combined company can accomplish,” said Ernie Knight, Managing Director of VGV.
VGV was also instrumental in the coordination between MedPilot and Youngstown-based GBS Corporation (GBS), which become a key customer and partner with the company and is also an investor in the fund. GBS is also excited about the merger.
GBS Vice President of Strategy says “GBS Corp has been engaged with MedPilot, as a founding member of Valley Growth Ventures since the initial investment, and as a client through the development of their product offerings. We believe digital engagement and direct-to-patient communication represents the next frontier for healthcare service providers to interact with patients and provide easily accessible information and support. We were fortunate to participate in the funding round when Valley Growth Ventures recognized this evolving segment and look forward to expanding the impact of MedPilot’s dynamic tools as an enduring client in the future.”
Read the full article via The Business Journal here.