Tebra has closed $250 million in new equity and debt financing to accelerate research and development in AI and automation for independent healthcare practices. The Newport Beach, California-based company said the oversubscribed round will fund expanded AI-powered capabilities across clinical documentation, billing and payments, patient experience, and practice marketing for its EHR+ platform, which it says is used by more than 140,000 private healthcare providers.
The financing consists primarily of equity led by Hildred, along with a debt facility provided by J.P. Morgan. Tebra said the round also included significant participation from existing investors Toba Capital, Transformation Capital and HLM Venture Partners. The company positioned the funding as support for its strategy to help independent providers facing rising overhead, declining reimbursements, and increasing competitive pressure by reducing administrative burden and improving financial performance.
Tebra described its product direction as moving beyond traditional EHR systems that function primarily as a system of record, positioning its EHR+ platform as a system of action designed to automate manual tasks, reduce errors and simplify workflows across the patient and revenue journey. The company said the investment will help it embed AI more deeply across practice operations, with a focus on both provider productivity and revenue cycle outcomes.
Tebra said it will accelerate product development around three areas. For provider efficiency, it plans to expand tools such as AI Note Assist and automated patient communications, aiming to reduce time spent on documentation and routine messaging. The company said AI Note Assist generated more than half a million clinical notes in the second half of the year and saved customers an average of 60% of documentation time per note. For revenue recovery, Tebra said it will deploy next-generation revenue cycle management AI to automate coding, claims generation, and denial prevention, to accelerate payment, reducing accounts receivable and easing billing complexity.
For practice growth, it plans to expand AI across patient experience and marketing functions, including AI Review Replies, AI Review Insights, and the emerging Tebra Care Connect marketplace. Tebra said AI Review Replies has driven a 45% increase in website clicks for customers using the tool since launch.
Tebra said the new financing comes as it operates a profitable core business with a diversified go-to-market engine and seeks to accelerate new customer acquisition while monetizing an installed base that includes more than 140,000 providers and 125 million patient records. The company framed the opportunity as a large market, describing itself as a pure play SaaS leader in a market it estimates at more than $20 billion and positioning its platform as a disruptor pushing healthcare software toward scalable AI-driven operations.
KEY QUOTES:
“Independent practices are the backbone of the U.S. healthcare system, yet they have been historically underserved by legacy technology that adds to their administrative burden rather than alleviating it,” said Andrew Goldman, Co-Founder and Managing Partner at Hildred. “Tebra has built the rare platform that doesn’t just digitize records but actually performs work on behalf of the provider. We believe Tebra’s vision for an AI-enabled ‘System of Action’ is the critical unlocking mechanism this market needs to restore profitability and focus back to patient care. We are thrilled to partner with Dan and the Tebra team to accelerate this transformation.”
Andrew Goldman, Co-Founder And Managing Partner At Hildred
“This investment is a direct mandate to eliminate the ‘squeeze’ on private practices,” said Dan Rodrigues, Tebra Founder and Chief Executive Officer. “AI represents the great equalizer for the industry, solving the systemic challenges that cause burnout and destroy profitability across the entire patient and revenue journey. Our confidence — and that of our investors — is rooted in our unique ability to embed AI deep into an all-in-one, easy-to-use platform purpose-built for independent practices. We look forward to partnering with the Hildred team to strategically scale our platform.”
Dan Rodrigues, Founder And Chief Executive Officer Of Tebra
