The start-up’s co-founders decided to build a new IT system after witnessing outdated systems slow down care during Covid-19.
Munich-based Avelios Medical, a provider of hospital information systems (HIS), has raised €30m in a Series A funding round, and with an industry leader exiting the HIS market before the end of the decade, Avelios looks towards becoming the leading operating system for patient care.
The funding round, one of this sector’s largest in recent months, was led by Sequoia Capital – an early backer of tech giants such as Apple, Nvidia and Google – alongside existing investors Revent and HTGF.
According to Avelios, which was founded in 2020, preventable medication errors result in the deaths of 65,000 people annually in Germany, and this is in part caused by outdated IT systems, which fail to make the relevant data available at the right time.
To tackle this issue, the start-up’s co-founders, Christian Albrecht, Nicolas Jakob and Dr Sebastian Krammer, built their HIS entirely from scratch, providing a space for “continuous innovation” and the use of artificial intelligence (AI) in medicine. Moreover, their HIS system covers the “full scope” of operations, from treatment documentation and administrative processes to a patient portal, the company said.
SAP, a Germany-based multinational, which provides IT software to nearly 30,000 partner companies globally, including hospitals, announced the withdrawal of its ‘Industry Solution Healthcare’ from the healthcare sector by 2030.
This creates a large vacuum in the industry, which according to Avelios, is a “once-in-a-generation” opportunity to “overhaul” hospital IT.
“Building a complete hospital information system, including documentation, admin, billing, patient portal and more, is not for the faint-hearted, yet this is precisely what Avelios has built,” said Anas Biad, a partner at Sequoia Capital.
“We were astounded by the depth and breadth of the product, as well as the feedback from their customers, which count some of the largest public and private hospitals in Germany. We are thrilled to partner with these exceptional founders and team as they deliver the modern operating system our healthcare deserves.”
“Sequoia has consciously turned away from the classic, short-term investment cycle and focuses on companies that solve fundamental problems,” said Albrecht.
“The digitisation of patient care requires long-term thinking and sustainable innovation. With Sequoia, we can deliver exactly that – a system built to stand the test of time.”
In 2024, the start-up secured €2.5m from the European Innovation Council Accelerator, while in the same year, it was ranked among the top 10 start-ups in Munich by LinkedIn.
Don’t miss out on the knowledge you need to succeed. Sign up for the Daily Brief, Silicon Republic’s digest of need-to-know sci-tech news.
From left: Christian Albrecht, Nicolas Jacob and Sebastian Krammer. Image: Avelios (CC BY 2.0)
