Medable Valuation Surpasses $2.1B with New Funding

Medable Secures $304 Million in Series D Funding

Medable, a clinical research organization centered on patient needs and offering a cloud-based platform for digital and decentralized clinical trials, has successfully raised $304 million in its Series D funding round. This marks the company’s fourth funding cycle since 2020, resulting in a valuation of $2.1 billion.

Streamlining Clinical Trials with Innovative Software

Medable’s software as a service solution effectively connects patients, clinical trial sites, and research teams. This connectivity streamlines the processes of trial design, patient recruitment, data retention, and overall data quality. The platform aims to make clinical trials more accessible to individuals regardless of their location.

Investment Details and Key Players

The latest funding round was jointly led by Blackstone Growth and Tiger Global, alongside existing investor GSR Ventures. Additional investment was provided by Sapphire Ventures and WTI, demonstrating continued confidence in Medable’s potential.

Industry Momentum and Market Opportunity

Dr. Michelle Longmire, CEO and co-founder of Medable, noted the increasing interest from mainstream investors in the clinical trial technology space. She stated this influx of capital adds significant momentum to the company’s objectives.

The company is targeting a substantial portion of the expanding global virtual clinical trials market, projected to reach $11.5 billion by the year 2028.

Rapid Growth and Patient Impact

Medable has experienced considerable growth, with a 300% increase in the past year and over 800% growth over the last 18 months. This rapid expansion, according to Longmire, validates the effectiveness of a patient-centric approach.

Currently, Medable’s software is utilized in 150 clinical trials, spanning 5,000 clinical sites across 60 countries, positively impacting the lives of tens of thousands of patients.

Pandemic's Influence on Decentralized Trials

Dr. Sunny Kumar, a partner at GSR Ventures, highlighted the role of the global pandemic in accelerating the adoption of Medable’s solutions. Prior to 2020, there was resistance to altering established clinical trial methodologies and limited technological integration.

However, Kumar explained that the industry now exhibits strong alignment of incentives. Pharmaceutical companies seek patient engagement, providers aim to optimize center throughput, payers desire cost shifting, and patients expect improved experiences.

GSR Ventures' Early Investment and Vision

GSR Ventures initiated its exploration of clinical trials in 2018, connecting with Longmire in 2019 and making its initial investment in Medable in 2020. At that time, the technology was in its early stages, and regulatory considerations were paramount.

The firm anticipated that decentralization would become the future of the industry, though they initially projected mass adoption would take three to five years. The onset of COVID-19 dramatically accelerated this timeline.

COVID-19 as a Catalyst for Change

“COVID changed the game,” Kumar stated. He observed a shift from 10% to 12% of trials utilizing any form of decentralization to 60% to 70% incorporating some level of decentralization. Medable has positioned itself to capture a significant share of this evolving market.

Reducing Costs and Accelerating Drug Development

The traditional pharmaceutical drug development process typically requires a decade and substantial financial investment. Medable aims to halve costs and double the speed to market. Kumar notes that the impact on trial costs is becoming apparent, though the full benefits of a fully decentralized trial are yet to be realized.

Total Funding and Future Plans

This latest funding round brings Medable’s total funding to $521 million, including a $78 million Series C extension in April and a $91 million round in November of the previous year. A $25 million venture round was also secured in May 2020.

Longmire explained that the new capital will be used to expand the company’s technology globally, ensuring wider awareness, access, and effective implementation of patient-centered trials. Investment will also focus on product development, strengthening the partner ecosystem, and enhancing customer and patient success.

“We are looking to make game-changing progress in a fast way, and the faster we can build the infrastructure, the better,” she added. “We want to make aspects of trials more local, done in the local pharmacy or clinic. There are trials for cutting-edge oncology drugs, and we want everyone to have access to that drug no matter where they are or who they are.”