MobiHealthNews covered a record-breaking 109 funding deals during the past three months – a clear step up from Q3 2019 and the swelling numbers of H1 2020.
The first six months of the year have painted a picture of extraordinary investor interest in digital health, but no quarter has made a stronger case than the past three months of record-breaking fundraising.
In Q3 2020, MobiHealthNews covered an unprecedented 109 investment deals and announcements that brought a total of more than $4.6 billion to digital health startups and health tech innovators.
This marks a substantial jump from Q1 2020's 82 deals for $2.9 billion and Q2 2020's 89 deals for $2.4 billion. Even more impressively, this quarter's total haul is roughly three times the amount MobiHealthNews reported during 2019's Q3, when investors' interest cooled to $1.55 billion across 66 deals. Notably, the sector has brought in nearly $10 billion in total investments in just nine months – handily outpacing MobiHealthNews' tallies for the entirety 2019 ($7.2 billion) and 2018 ($7.7 billion). With plenty more time left to go on the calendar, suffice it to say that 2020 is already well on track to become a banner year for the digital health industry.
Headliners for the quarter included nine-figure raises for insurtech and artificial intelligence-based drug-discovery startups, but a large volume of deals involved companies active in the telehealth and virtual care space – think Ro, Heal, Doctor On Demand, and MDLive on the upper end of the scale, and Eden Health, Nurx, Brightline and Medefer on the other. But this quarter's list also included a number of other major focus areas for the industry including remote monitoring, patient triage, prescription management, and data analysis.
Read on below to see the full list of fundings MobiHealthNews spotted in Q3, and click on the highlighted links to see their original coverage.
| Company | Round/Series | Amount (M) | Investors | What's it for | What they do |
| Bright Health | Series E | $500.00 | Tiger Global Management, T. Rowe Price Associates and Blackstone, NEA, Bessemer Venture Partners and Greenspring Associates. | These funds, in addition to existing capital, will be used to help the company expand into new geographies, Bright Health said. |
It operates in 43 markets across 13 states in the U.S. and currently offers individual, family and Medicare Advantage plans. Additionally, the tech-enabled company runs a consumer-minded platform consisting of web tools and a mobile app.
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| XtalPi | Series C | $319.00 | SoftBank Vision Fund 2, PICC Capital, Morningside,Tencent, Sequoia China, China Life and SIG | XtalPi plans to use this funding to help make the pharmaceutical R&D process more efficient by expanding its ID4 platform. |
Its platform combines quantum physics, AI and cloud computing algorithms to assess how drugs react at a molecular level in order to help pharmaceuticals progress through clinical trials.
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| Recursion Pharmaceuticals | Series D | $239.00 | Leaps by Bayer, Casdin Capital, Catalio Capital Management, Laurion Capital Management, Samsara BioCapital and others. | The funds will help Recursion fuel the clinical development of its therapeutic pipeline, and support continued investment into the development of its technology. |
Recursion is an artificial intelligence drug discovery company.
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| Ro | Series C | $200.00 | General Catalyst, FirstMark Capital, Torch, SignalFire, TQ Ventures, Initialized Capital, 3L, BoxGroup and the Chernin Group | The company is adding remote patient monitoring, new diagnostic testing and urgent care to its offerings. |
Ro began as a men's sexual health and wellness platform, and now hosts several brands delivering direct-to-consumer health products.
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| Grand Rounds | Unspecified | $175.00 | The round was led by the Carlyle Group. | According to the company, the new funds will go towards growing its “clinical navigation and virtual primary care.” |
The California-based company was founded in 2011 and started out as a second opinions site, but then pivoted to the health navigation space.
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| Atomwise | Series B | $123.00 | B Capital Group, Sanabil Investments, DCVC, BV, Tencent, Y Combinator, Dolby Family Venture and AME Cloud Ventures. | The new funds are going to be put toward its internal drug development efforts and used to grow its partnership programs. |
The company uses artificial intelligence, specifically “convolution neural networks,” in order to assist with drug discovery efforts.
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| Sema4 | Series C | $121.00 | BlackRock, Deerfield Management Company, Moore Strategic Ventures, Blackstone, Section 32, Oak HC/FT, Decheng and Connecticut Innovations | The funds will help Sema4 continue to grow and bring new "world-renowned partners" to its team. |
The spinout promotes data platforms focused on intelligent use of health research data, data-driven precision oncology, women's reproductive health and population health management.
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| Tonal | Unspecified | $110.00 | L Catterton, Sapphire Sport, Shasta Ventures, Mayfield, Evolution Media and THVC, Delta-v Capital, the Amazon Alexa Fund, Mouse Partners, basketball players Stephen Curry and Paul George and professional golfer Michelle Wie. | With this raise, it aims to accelerate marketing initiatives while simultaneously ramping up its supply chain and logistics to meet demand. The company will also be targeting new software-based additions to its product, new fitness content and a research project with the Mayo Clinic. |
Tonal offers a special connected exercise machine with an AI-powered fitness software, all focused on the goal of strength training.
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| Lyra Health | Series D | $110.00 | Addition, Adams Street Partners, Casdin Capital, Glynn Capital, Greylock, IVP, Meritech Capital Partners, Providence Ventures, Tenaya Capital and former Starbucks CEO Howard Schultz | The funds will help address new demand in the employee mental health market and expand Lyra Blended Health, its video teletherapy service. |
Lyra’s platform matches employees and their dependents to mental healthcare professionals and personalized, evidence-based treatments.
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| Olive | Unspecified | $106.00 | General Catalyst and Drive Capital, Ascension Ventures, Oak HC/FT and SVB Capital. | The company did not specify how it would be deploying the new funds. |
Olive is a startup that develops artificial intelligence and automation software for providers.
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| LinkDoc Technology | Series D+ | $102.00 | The company's support came from an undisclosed collection of prior backers, as well as newcomers such as CICC Capital, Youshan Capital and iFOF. | The company said it plans to continue fleshing out its big data platform and the tools within it. |
The company is a cloud-based platform offering a big data repository of medical data for clinical trial and clinical AI.
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| Medly | Series B | $100.00 | Volition Capital, Greycroft, Horsley Bridge and Lerer Hippeau | The company plans to use the new funds to grow its platform and services. |
The tech-enabled pharmacy lets patients schedule same-day delivery over the phone, through text messages or an app.
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| Heal | Series D | $100.00 | Humana | In addition to aligning the two companies' interests and delivering Heal's home care services to Humana members, the strategic investment will help Heal push into new regions including Chicago, Charlotte and Houston. |
Founded as a house call coordination app, Heal's service has expanded to support backend administrative work, telehealth follow-ups and telepsychology services.
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| Biofourmis | Series C | $100.00 | SoftBank Vision Fund 2, Openspace Ventures, MassMutual Ventures, Sequoia Capital and EDBI. | As part of the shift, Biofourmis said that it would be using the new capital to develop, validate and commercialize digital therapeutics. |
Biofourmis is a Boston-based predictive-care startup that's leaning more and more into digital therapeutics.
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| Doctor On Demand | Series D | $75.00 | General Atlantic and prior investors | The new money will fuel growth and expand access among U.S. patients. |
The San Francisco-based company provides virtual care services directly to consumers as well as through arrangements with health plans and employers.
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| MDLive | crossover equity/debt financing | $75.00 | Sixth Street Growth and other unnamed investors. | The company said it would be prioritizing the expansion of its Virtual Primary Care platform with these funds, and will also be working to launch new supporting products and services for its members. |
MDLive provides a telehealth platform staffed by a network of certified clinicians capable of delivering virtual urgent care, dermatology, therapy and psychiatry services.
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| Truepill | Series C | $75.00 | Oak HC/FT, Optum Ventures, TI Platform Management, Sound Ventures and YCombinator. | The company plans to use the funds to roll out a new at-home lab testing. The idea is that the company will combine testing, telehealth services and digital pharmacies. |
The company works with digital health brands, pharma manufacturers and health plans, to connect patients to telehealth and digital pharmacy services.
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| Eargo | Series E | $71.00 | Gilde Healthcare, Longitude Capital, New Enterprise Associates, the Charles and Helen Schwab Foundation and Nan Fung Life Sciences. | The new funds will go towards expanding the commercialization of the product. |
The startup has developed app-connected, rechargeable hearing devices that can be purchased directly by the consumer.
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| Sight Diagnostics | Series D | $71.00 | Koch Disruptive Technologies, Longliv Ventures and OurCrowd | The company said it plans to push into new regions and fuel R&D efforts so that its platform can be employed for additional diseases. |
Sight Diagnostics offers an FDA 510(k)-cleared complete blood count analyzer for use by frontline healthcare workers.
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| Withings | Series B | $60.00 | Gilde Healthcare, Idinvest Partners, Pbifrance, BNP Paribas Development, ODDO BHF Private Equity and Adelie Capital | Withings aims to scale its B2B division globally, and accelerate development of new consumer devices. |
Best known as the maker of smart health devices for consumers, Withings has lately added a focus on B2B connected devices.
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| Tempo | Series B | $60.00 | Northwest Venture Partners, General Catalyst, DCM, Bling Capital, SignalFire, Founder Fund and Y Combinator | This infusion of cash is slated to be used to increase manufacturing capacity, and open a second production studio. |
Tempo's in-home fitness system includes a screen and 3D-vision camera, which can scan the user’s movements 30 times per second, through which it delivers live workout classes.
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