Canopy Financial Raises $15 Million

Canopy Financial, a San Francisco-based provider of technologies for connecting healthcare and financial services, has raised $15 million in VC funding. Granite Global Ventures led the round, with Financial Technology Partners serving as placement agent.

 

PRESS RELEASE

 

Canopy Financial, a leading provider of innovative technology solutions that connect healthcare and financial services, today announced it has completed a minority capital venture funding round of approximately 15 million dollars. Led by Granite Global Ventures, the new funding round will support product development and marketing of Canopy’s leading edge healthcare banking technologies for the rapidly growing Health Savings Account (HSA) and Consumer-Driven Healthcare (CDH) market.

 

“Many of the nation’s leading healthcare and financial institutions have selected Canopy to power their healthcare banking initiatives, which helped accelerate our revenues in 2007 by more than fourteen times since 2006, making Canopy one of the fastest growing companies in America today,” said Vik Kashyap, CEO of Canopy Financial. “We are extremely pleased that Granite Global Ventures, which has backed such companies as Athenahealth and SuccessFactors, is our strategic investor as we pursue our long term strategy of affecting major change in the consumer-driven healthcare market.”

 

“The consumer-driven healthcare market is one of the most dynamic and rapidly expanding market segments in America today,” said Glenn Solomon, Managing Partner with Granite Global Ventures. “For our entry into this market, we chose to invest in Canopy Financial, which with its innovative healthcare banking technology, proven management team, and significant market lead is poised to be at the forefront of what we anticipate will be a paradigm shift in healthcare and financial services.”

 

Along with Canopy’s industry leading electronic payment, account management and investment technology platform HealthDirect that supports the healthcare banking programs of Wachovia, Fifth Third Bank, Sovereign Bank, eHealthInsurance and Caremark, Canopy recently launched MyCanopy.com, a single online destination for businesses and consumers to source and manage everything they need relating to high deductible health plans and HSAs.

 

Financial Technology Partners LP and FTP Securities LLC (together “FT Partners”) acted as exclusive strategic and financial advisors to Canopy in this transaction.

 

About Granite Global Ventures

Granite Global Ventures is a leader in expansion-stage venture capital investments in the United States and Asia. Focused on expanding global innovation, GGV’s highly diverse team manages over $800 million from its offices in Silicon Valley, Shanghai, and Singapore. The firm invests across a range of sectors in information technology, services and healthcare, as well as emerging industry segments in Asia. GGV has provided capital and helped accelerate international business development for its worldwide portfolio of high-growth companies, particularly in the U.S. and China. GGV’s portfolio includes athenahealth, SuccessFactors, Alibaba.com, HiSoft, Tudou.com, Boston-Power, and Isilon Systems. Recent exits include AAC Acoustics, Netli (acquired by Akamai), Sirna Therapeutics (acquired by Merck), Xfire (acquired by Viacom), and XenoPort. The total market value of GGV’s exits since the firm’s formation in 2000 exceeds US$8 billion. For more information, please visit www.ggvc.com .

 

About Canopy Financial, Inc.

Canopy Financial provides innovative technology solutions that connect healthcare and financial services. Serving some of the world’s largest healthcare and financial institutions, Canopy powers the development and delivery of complete healthcare banking services for both consumers and businesses. Founded in 2004, Canopy maintains offices in San Francisco and Chicago. For additional information please visit www.canopyfi.com