Doctor appointment booking site ZocDoc issues convertible note for $55M

New York-based ZocDoc, a company that helps patients find nearby doctors and book medical appointments online, has already raised more funding than most startups in health tech. But the company plans to fill its coffers with even more cash.
The company, which has raised about $95 million in venture financing, said Monday that it had issued a $55 million convertible debt note, of which it has already closed $2 million. CEO and co-founder Cyrus Massoumi said the company doesn’t need the money but wanted to bring in strategic investors that can help the can help the company as it expands into new geographic areas and builds new products.
He declined to name the investors, saying only that “they wanted to be involved” and are “strategic investors we believe will help the business as we scale up.”
In addition to the new funding, ZocDoc said it had reached a few milestones:

  • Patients have booked more than 1,000 medical procedures on its site
  • Bookings on its mobile site are up 500 percent year over year
  • Bookings on ZocDoc have increased more than 200 percent year over year
  • The company covers 40 percent of U.S. patients and is profitable in the majority of its 35 markets (it spans 1,800 cities)

ZocDoc is a leader in the online medical appointment booking space but, as we’ve noted before, the doctor finder/doctor booking field is getting more crowded. In the past few months, electronic health records startup Practice Fusion launched its consumer-facing appointment booking site PatientFusion and Doximity, a “LinkedIn for doctors,” announced that it teamed up with U.S. News and World Report for an online “doctor finder” service.