- Tandem Health has raised $100 million in its Series B funding round, with EQT’s Scaleup Europe Fund leading the investment.
- Tandem’s total funding has now reached $160 million, making this the fund’s first investment in the healthcare sector.
- Tandem’s AI scribe is currently used by 10,000 care organisations in 14 countries across Europe.
The €5 billion Scaleup Europe Fund has been established to help ensure that leading European technology companies remain in the region. Its initial investment in clinical documentation was made in Tandem Health, a healthtech startup based in Stockholm.
The software offered by Tandem assists clinicians by preparing clinical notes. The company obtained $100 million in Series B financing, with the fund acting as the lead and EQT handling the management.
The Scaleup Europe Fund’s initial healthcare investment follows the European Commission’s decision earlier this year to appoint EQT as the manager of the €5 billion fund. Kinnevik, Northzone, Amino Collective and the Visionaries Club, all of which invested in Tandem’s $50 million Series A in 2025, are also participating in this round.
“Europe’s health systems are under real strain, and AI presents a real solution. But until now, European care providers have had to depend either on legacy solutions or AI solutions originally built for other markets that were retrofitted for Europe. We started Tandem to provide an alternative,” said Lukas Saari, Tandem’s chief executive and co-founder.
The World Health Organisation anticipates that Europe will have a shortfall of 1.6 million health and social care workers this year, a figure that could increase to 4 million by 2030. Eurostat forecasts that by 2050 there will be fewer than two working-age adults for each retiree, as the number of people over 65 will approach 130 million.
The clinical documentation segment of the generative AI market, where Tandem is active, is projected to grow from $1.05 billion in 2026 to $10.5 billion by 2034.
Ex-McKinsey and Spotify
Saari founded Tandem in 2023 together with Oliver Åstrand and Oscar Boldt-Christmas.
Earlier in his career, Saari headed McKinsey’s Nordic healthcare analytics team and then worked on machine learning at Spotify. Åstrand had previously developed AI products at Google X, Uber, Depict, and Mavenoid.
Boldt-Christmas joined as a co-founder after having spent 20 years as a senior partner at McKinsey, where he headed the company’s European healthcare practice.
The founders believe hospitals are more likely to trust software developed by people with real experience in healthcare reimbursement and budgeting, not just those with technical skills.
Certified tools for clinical documentation
The assistant used by Tandem handles consultations, takes notes, suggests billing codes, and provides clinical decision support before automatically completing the necessary paperwork.
Among these functions, such as the AI scribe, the coding assistant, and the clinical decision support, the three have been certified as Class IIa medical devices pursuant to the EU’s Medical Device Regulation. The certification process is more rigorous and costly than that most competitors undergo.
This shows off Tandem’s competitive position. Nabla, a Paris-based writer backed by Cathay Innovation’s €1 billion AI fund, and Heidi Health, an Australian AI startup that raised $16 million from LocalGlobe, are both targeting European clinics by emphasising speed and low cost.
Abridge, the most highly funded company in the field, has raised around $780 million at a $5.3 billion valuation, surpassing the total Tandem has raised in a single funding round. The company, however, is designed for the regulatory and reimbursement conditions of the US market, not those of the European market.
Investor viewpoint
Nils Petter Nygaard, managing director of EQT and of the Scaleup Europe Fund, stated, “Tandem is one of the few healthcare technology companies to demonstrate it can scale in a pan-European way, already supporting more than 10,000 care organisations with AI that reduces administrative burden and frees up clinicians’ time for higher-impact work.”
This year, the European Commission decided to have EQT in charge of the fund, and Tandem is only the second investment the fund has made, the first being a $400 million round for Lovable.
The fact that EQT has selected a healthcare company with a strong focus on compliance as its first investment in that sector, rather than a faster-growing company, shows that it intends to use public money carefully in areas where regulations are as important as growth.
The $160 million figure now represents Tandem’s total funding from its Series B financing. The company intends to go beyond its AI medical assistant by developing an AI Clinic Operating System that incorporates patient-flow management into its scribe and coding tools.
Tandem also hopes to increase its presence in 14 markets, such as Ramsay Santé, Humanitas, and the NHS. According to the company’s data, it has about 175 employees, including more than 75 clinicians.
Tandem’s strategy is to take a careful approach, getting certified in each market before expanding, because Europe’s health systems are fragmented and highly regulated. If this works, the main question will be whether European hospitals will trust an AI system to manage patient flow.
