Candid Health, a developer of AI-powered revenue cycle management (RCM) software, has secured $120 million in a series D funding round. The investment was led by Sixth Street Growth, with participation from Oak HC/FT, 8VC, and Y Combinator. This latest financing brings the company's total funding to more than $219 million to date, following a $52.5 million round in February 2025. The company reports that this series D round has tripled its valuation compared to its series C fundraise last year.

The company plans to use the new capital to expand its team, invest in automation tools for core RCM workflows, and accelerate the development of agentic AI solutions—autonomous software that performs complex, multi-step tasks to achieve specific goals—to handle edge cases that previously required manual labor. Founded in 2019, Candid Health aims to modernize medical billing and claims processing by replacing or augmenting legacy software, which typically relies on manual work queues. Its platform unifies clinical, billing, and provider data into a single model, automating processes that cost the healthcare industry $280 billion annually.

Candid Health reports a 190% year-over-year growth in annual contracted run-rate revenue and 180% year-over-year net dollar retention for 2025. The platform, which utilizes a combination of AI agents, deterministic rules, and machine learning, is currently used by more than 200 healthcare organizations, including digital health startups, large management services organizations, and electronic medical record companies. The company processes approximately $7 billion in claim volume each year. Co-founders Nick Perry and Doug Proctor, both former employees of software company Palantir, designed the platform to correct and submit claims automatically on the first attempt.

Candid Health, a developer of AI-powered revenue cycle management (RCM) software, has secured $120 million in a series D funding round. The investment was led by Sixth Street Growth, with participation from Oak HC/FT, 8VC, and Y Combinator. This latest financing brings the company's total funding to more than $219 million to date, following a $52.5 million round in February 2025. The company reports that this series D round has tripled its valuation compared to its series C fundraise last year.

The company plans to use the new capital to expand its team, invest in automation tools for core RCM workflows, and accelerate the development of agentic AI solutions—autonomous software that performs complex, multi-step tasks to achieve specific goals—to handle edge cases that previously required manual labor. Founded in 2019, Candid Health aims to modernize medical billing and claims processing by replacing or augmenting legacy software, which typically relies on manual work queues. Its platform unifies clinical, billing, and provider data into a single model, automating processes that cost the healthcare industry $280 billion annually.

Candid Health reports a 190% year-over-year growth in annual contracted run-rate revenue and 180% year-over-year net dollar retention for 2025. The platform, which utilizes a combination of AI agents, deterministic rules, and machine learning, is currently used by more than 200 healthcare organizations, including digital health startups, large management services organizations, and electronic medical record companies. The company processes approximately $7 billion in claim volume each year. Co-founders Nick Perry and Doug Proctor, both former employees of software company Palantir, designed the platform to correct and submit claims automatically on the first attempt.