Fourth investment for Healthcare Innovation Fund

Heritage-run vehicle buys into Utah coding company

The investment fund backed by three local hospital chains as well as a fistful of other big industry players has invested in a medical coding and software company based in Utah.

Officials with the Heritage Healthcare Innovation Fund aren't disclosing the size of their investment in Aviacode, which was founded in 1999 and becomes the fourth company under the fund's umbrella. Aviacode markets remote medical coding services to hospitals and physician offices across the country. The company used a cloud-based system to reach clients and improve its efficiency and quality.

CEO Dave Jensen said the investment will give his team "a strategic opportunity to collaborate with experts" at the companies that have invested in the Heritage Healthcare Innovation Fund with an eye on technologies and services that will lower their costs and improve the quality of their care. Nashville-area hospital operators Community Health Systems, LifePoint Hospitals and Vanguard Health Systems are among the partners in the $200 million fund. Other investors include Amedisys, Cardinal Health and Memorial Hermann Healthcare.

“We are very pleased to partner with Aviacode, which has developed a differentiating technology platform and built a leading medical coding operation over the last decade,” said Rock Morphis, managing director of Heritage Group, which runs the fund. “This funding will enable Aviacode to further accelerate its record growth trajectory and increase its capacity to deliver innovative medical coding solutions to new customers. We are proud to be part of that effort.”