Here are around 15 million doctors in the world and Ariel Katz can tell you incredibly detailed information about 10 million of them, including their specialties, ongoing research, published papers, clinical trials, insurance claims and social media mentions. With the New York-based startup H1, Katz and cofounder Ian Sax, have scraped and distilled disparate global healthcare data into a LinkedIn-like interface to help biopharma companies figure out the best doctor to involve in a clinical trial or educate about a new therapy. “H1 is a global platform of every healthcare professional in the world and everything you want to know about them” says CEO Katz, 28.
Currently used by companies including Novartis and AstraZeneca, Katz has much bigger ambitions to expand well beyond the life sciences industry and eventually provide this data to hospitals, health insurers, startups and patients. In the next decade, he says, “any place on the internet where you see doctor information, it’s going to be powered by H1.”
Given the speed at which H1 is raising capital, investors agree. On Tuesday, the three-year-old company announced a $100 million Series C led by the technology-focused crossover firm Altimeter Capital. Goldman Sachs and Flex Capital also participated in the round, along with existing investors IVP, Menlo Ventures, Transformation Capital, Lux Capital, and LeadEdge. It comes less than a year after H1 raised $71 million over the course of 2020. This latest investment brings H1’s valuation to $750 million, according to a person familiar with the deal.
The healthcare industry “lacks a single source of truth on healthcare professionals,” says Pauline Yang, a partner at Altimeter Capital. “The pandemic was a sort of wake up call to them that they aren’t operating efficiently. They need to operationalize and use software to do their job better,” she says. “I think H1 was on the right side of history from that perspective.”
Katz and Sax also started building and raising money at the right time. When H1 entered the startup accelerator Y Combinator in January 2020, the bootstrapped company had 10 employees in the U.S. The pitch was PitchBook meets Crunchbase (the two big compilers of private company and venture capital data) but with doctor data. H1 started by scraping public sources, like hospital websites, clinicaltrials.gov and state medical registries. The Affordable Care Act had opened up access to more Medicare and Medicaid claims data and also pharma payments to doctors. H1 also purchased private data sets from health insurers and other sources.
It was during Y Combinator that Katz and Sax decided to not just focus on U.S. market data, but to go global, closing a Series A two weeks before the pandemic lockdown. The status quo for pharma companies had long been to call up a consulting firm and pay hundreds of thousands of dollars for a spreadsheet listing the top doctors studying a certain disease. With H1 they could buy a software license to a comprehensive global directory with an easy-to-use interface. “It started to spread like wildfire,” says Katz. “And in every conversation, there was nothing else out there like it.”