Saint John- and Waterloo-based MedReddie, which helps to streamline hospital procurement, has raised $1.55 million in equity financing and secured $500,000 in grants, bringing its latest round of capital to $2 million.

The equity round, announced Tuesday, was led by MaRS Investment Accelerator Fund, with participation from the New Brunswick Innovation Foundation, Business Development Bank of Canada’s Thrive Lab, and strategic angel investors. The company said the new capital will support international expansion and further development of its AI-driven procurement platform.

The raise follows MedReddie’s $782,000 pre-seed funding round in the summer of 2024, which included BDC’s Thrive Lab, The Firehood, New York-based Forum Ventures, NBIF and government grants. That earlier funding was used to grow the team and advance product development as the company moved to scale its presence in Canada and enter the U.S. hospital market.

“This high-potential company, and its Founder and CEO, Kara LeBlanc, represent the innovation and tech leadership that continues to emerge from Atlantic Canada,” said NBIF Chief Executive Jeff White in a press release. “MedReddie is addressing a pressing health-care system need, and this funding positions them to scale quickly and achieve real impact.”

MedReddie’s platform is designed to help hospitals and group purchasing organizations, or GPOs, manage increasingly complex purchasing decisions for medical technologies. Hospitals are contending with higher costs, supply chain uncertainty and tighter timelines to evaluate equipment and digital tools, while regulatory regimes in the United States and Europe are evolving.

The company’s AI agent generates sourcing documentation and aggregates regulatory, clinical and performance data into a single interface. MedReddie says this gives procurement teams a clearer view of options and helps them move more quickly on value-based purchasing decisions.

LeBlanc launched MedReddie after more than a decade working in medical procurement, including senior roles at Service New Brunswick. She created the company to address inefficiencies she observed in managing complex requests for proposals and contracts for large health systems.

The company’s clients include major group purchasing organizations and health systems representing thousands of hospitals across North America. MedReddie says its software has demonstrated improvements in both speed and data quality in complex procurement processes.

With the new funding, MedReddie plans to advance its international strategy, beginning with Europe. The company will showcase its platform at MedTech Europe’s Value-based Procurement conference in Brussels in December, where it intends to demonstrate how its AI system can support value-based procurement under European regulatory frameworks.

BDC’s Thrive Lab, which backs women-led businesses with a social impact lens, also highlighted the alignment between MedReddie’s mission and its mandate to support companies building data-driven tools for systemic challenges in healthcare.

Said MaRS Discovery District CEO Grace Lee Reynolds: “MedReddie is strengthening a part of the health system that has long needed better tools. Hospitals everywhere are under pressure to make high-quality decisions in a short window. MedReddie gives them the intelligence they need to reduce risk and improve outcomes.”