Skin Analytics raises £15m to expand AI skin cancer detection tech

British health tech company Skin Analytics has secured £15 million in Series B funding to expand its AI skin cancer technology to other key markets with dermatologist shortages, such as Europe and Australia.

It’s technology, DERM, is an AI medical device that independently makes clinical decisions on skin cancer without human review.

The funding will help Skin Analytics to expand its focus and launch products that cover all dermatology concerns as well as expand internationally to other markets with dermatologist shortages, including Europe and Australia.

It will also accelerate the firm’s move into the US market.

Neil Daly, founder and chief executive of Skin Analytics, said: “AI allows us to move from a world of specialist scarcity to one where we have the capacity to see everyone who is concerned about their skin.

“Starting with skin cancer, this funding allows us to work with our partners to build new models of care that everyone can access, whenever they want to. That brings us closer to the world where no one dies from skin cancer.

“We have proven this technology in the UK and are now making it available globally.”

Intrepid Growth Partners, an AI-focused growth investor, led the funding round.

The fund was founded by Mark Machin, former chief executive of CPPIB, Mark Shulgan, former head of growth equity at OMERS, and Ajay Agrawal, an expert on the economics of AI at the University of Toronto.

Mark Machin, cofounder and managing partner at Intrepid Growth Partners, said: “At Intrepid Growth Partners, we invest in transformative machine intelligence-driven solutions that address critical challenges, and Skin Analytics exemplifies this vision.

“Their technology is redefining early skin cancer detection, improving patient outcomes while reducing healthcare costs. We are excited to support their growth as they scale their impact globally.”

The investment comes as healthcare systems worldwide struggle with dermatologist shortages, with patients waiting months for potentially life-saving skin cancer checks.

There are only around 30 dermatologists per one million population in Europe, according to figures published in the British Journal of Dermatology, despite skin-related issues consistently ranking among the top 10 reasons for initial doctor visits.

DERM has been deployed at 26 NHS sites, where it has been used in pathways that have seen more than 150,000 patients and detected over 14,000 cancers.

The firm says that its technology can automatically discharge up to 40% of urgent suspected skin cancer referrals and rules out the highest risk skin cancers 99.8% of the time, exceeding the 98.9% accuracy of dermatologists.

In June 2023, Daly spoke exclusively to Digital Health News about DERM and its results, benefits and challenges, the rollout across the NHS and hopes and aspirations for the future.