Cascala Health, a healthcare technology company that provides AI-powered clinical intelligence to care teams and post-acute care providers, has raised $8.6 million in seed funding. This round of financing was led by Flare Capital Partners and Eniac Ventures, with support from Omega Healthcare Investors , Ziegler Link-age Fund, Tau Ventures, and Digital Health Venture Partners. This brings Cascala’s total funding to $11.23 million since its launch in early 2024. The new capital will help the company speed up product development, improve its clinical intelligence tools, and grow its customer implementation team as it expands to meet increasing demand. This investment arrives at a crucial time as the healthcare system grapples with staffing shortages and inefficiencies during care transitions, which harm patient outcomes and raise costs.
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“Securing this funding is a major milestone for Cascala,” said Matt A. Murphy, CEO and Co-Founder of Cascala Health. “With backing from top investors and strategic partners like Ziegler Link-age Fund and Omega Healthcare, we’re ready to deliver real-time, clinically responsible AI that supports care teams and skilled nursing operators. Our goal is to reduce care gaps, prevent unnecessary readmissions, and create lasting value in the post-acute care space.” Cascala was launched in early 2024 with initial seed funding from Redesign Health and Flare Capital Partners through its Flare Scholar Ventures program. Its AI platform works directly with clinicians’ current workflows. The platform’s main parts include Clarity for AI-driven data collection and summaries, Continuity for continuous patient insights and risk scoring, and Copilot for workflow activation. The platform connects easily with any web-based electronic medical record or population health system to improve decisions during care transitions, chronic disease management, and value-based care projects. This approach fills a big gap in post-acute care and helps Cascala change these transitions on a large scale.
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Victor Lanio, a Partner at Flare Capital Partners, said, “We’ve supported Matt since his time as a Flare Scholar, and we know his ability to spot key healthcare problems and create innovative solutions. We’re excited to expand our partnership with Cascala as they combine explainable AI with smooth workflow integration to change how care transitions happen.” Cascala’s platform is built for skilled nursing facilities, home health providers, and extended care teams that work together to manage patient care. It simplifies documentation, allows personalized care, and helps close care gaps early. By putting physician-developed protocols and clear AI logic into clinical workflows, Cascala gives real-time, evidence-based insights that help care teams find and solve risks quickly.
The platform is already being used by early customers, including a major Medicare ACO and over 1,000 acute and post-acute care facilities. Cascala currently supports care for more than 300,000 patients during thousands of post-acute transitions. It also helps more than 3,000 primary care clinicians manage patients’ post-acute care. Customers have seen double-digit drops in administrative work as the AI system condenses large amounts of patient records into one useful care plan. This reduces manual work by over 50 percent for care coordinators and intake teams.
With new backing from Ziegler Link-age Fund and Omega Healthcare, whose networks include about 970 skilled nursing and senior living facilities, which account for nearly a third of U.S. skilled nursing capacity, Cascala is ready to expand its impact across the post-acute care journey. This support will help the company achieve its mission to help operators close care gaps, reduce readmissions, and improve both clinical and financial results. Katie Schmitz, Managing Partner of Ziegler Link-age Fund, said, “Skilled nursing operators face higher patient needs and tight margins—challenges that can be reduced by smarter admissions. Cascala offers a focused solution that puts actionable clinical and financial insights directly into care workflows. This helps post-acute providers improve reimbursements, streamline operations, and enable teams to deliver high-quality care. We’re excited to support a company that understands the complex realities of post-acute care and builds technology that truly meets those needs.” Timothy Young, Founding General Partner at Eniac Ventures, added, “Care transitions are a broken process that costs the healthcare system billions each year and puts patients at risk. Cascala’s mix of AI intelligence with practical workflow tools is already showing strong early results. We’re proud to support their effort to change this key part of healthcare delivery.”
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