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Penguin Ai, a company offering AI-enabled tools to help with administrative tasks, has secured $29.7 million in venture funding, including $25 million in a Series A round led by Greycroft.
UPMC Enterprises, Snowflake Ventures, SemperVirens, Horizon Mutual Holdings and Watershed Ventures participated in the round, as well as the parent of New Jersey's largest and oldest health insurer.
The round also included support from the existing investors ManchesterStory and Overwater Ventures, as well as California Health Care Foundation and Matt Kozlov of Multiball Capital.
WHAT IT DOES
Penguin Ai, founded in 2024, offers an agentic AI platform aimed at streamlining workflows, including medical coding, claims scrubbing and billing review, claim appeals management and chart summarization.
The company will use the funds to expand its workforce, accelerate product development and scale its services with payers and providers.
"The healthcare industry is plagued by inefficiencies and is spending billions on administrative tasks annually," Fawad Butt, founder and CEO of Penguin Ai and former chief data officer of UnitedHealthcare, Kaiser Permanente and Optum, said in a statement.
"By harnessing the power of generative AI, we can significantly reduce these costs, improve accuracy, and unburden valuable resources so payers and providers can focus on delivering quality care to patients."
MARKET SNAPSHOT
Other companies offering AI-enabled platforms to ease administrative workflow include California-based Notable Health, which uses automation to help health systems automate patient interactions, including scheduling, registration and payment collection.
Suki offers an AI-backed voice tool for healthcare, Keragon offers a healthcare automation platform, and Lamar Health also provides an AI-powered automation platform.
