Spring Health receives $190 million to expand family mental health services and expand health plan partnerships
what is spring health?
Spring Health is a mental health technology company that uses AI (Artificial Intelligence) and human expertise to deliver personalized and effective mental healthcare to individuals and organizations.
Spring Health's platform connects individuals with mental health clinicians and coaches who provide evidence-based care for a range of mental health conditions, including depression, anxiety, stress, and more.
The platform also includes tools for self-assessment, tracking progress, and providing support and resources to users.
Spring Health's goal is to improve access to quality mental healthcare and reduce the stigma around seeking help for mental health issues.
Spring Health Reviews
Employers are dealing with an urgent mental health crisis among their workforces as a result of the COVID-19 pandemic, which has exacerbated stress, anxiety, and burnout.
However, it is not only employees who require assistance.
Over 25% of high school students reported worsening emotional and cognitive health during the pandemic, driving demand for mental health services for caregivers and children.
With $190 million in new capital, Spring Health, a provider of a mental health benefits platform for employers, plans to go global and expand its solution to serve employees' entire families. According to executives, the funding round increased the company's valuation to $2 billion.
Kinnevik led the round, with new investor Guardian Life joining existing investors Tiger Global, Northzone, RRE Ventures, Rethink Impact, Work-Bench, William K Warren Foundation, SemperVirens, Able Partners, and True Capital Ventures also participating.
The company's valuation has risen to $2 billion as a result of the series C funding round, making it one of the most recent digital mental health startups to achieve "unicorn" status, or a valuation of at least $1 billion.
Modern Health, Lyra Health, and Ginger, which will soon be merged with Headspace, are also among the startups in this category.
According to company executives, Spring Health's business has been propelled by roughly six times revenue growth in the last year.
The startup provides "precision mental healthcare," which matches each employee to the most effective care available.
Mindfulness and meditation, care navigation, coaching, therapy, and medication management are all part of the solution.
According to the company, a recent scientific study revealed that Spring Health is the most effective and efficient employer-facing mental health solution available today, delivering best-in-class outcomes in half the time as others in the industry.
Spring Health is currently available to over 2 million employees worldwide.
Relationship counseling, pediatric mental health care, parental coaching, self-guided exercises for parents, and adult therapy for individuals are among the resources available to employees and their families.
According to Adam Chekroud, Ph.D., co-founder and president of Spring Health, the cash infusion will accelerate the company's efforts to integrate these existing offerings into the first cohesive mental health experience for families, where both individuals and relationships within families can be supported through one central solution.
"We have some customers globally piloting our services, and we want to accelerate this global expansion while continuing to provide high-quality, comprehensive resources to employees in other countries," he said.
According to Chekroud, the world is experiencing an "unprecedented global mental health crisis," which has increased demand for virtual behavioral health services.
"Because so many people require assistance, there are numerous platforms available. Faster access in the mental health space has been the focus of innovation, but access to something that doesn't work for you doesn't help; you're just accelerating access to a broken system "He stated.
By providing a more personalized and effective mental health experience, Spring Health's solution helps to eliminate trial and error.
The company's solution assesses an individual's needs using machine learning models, and care navigators guide the individual to the appropriate care, whether it's coaching, meditation, therapy, or medication.
Koh collaborated with Chekroud five years ago, when he was a Ph.D. candidate at Yale University, and published peer-reviewed research on how machine learning could help match patients to the best care providers for their needs.
"The core technology that I developed specifically pinpoints what works for you to get you into effective treatment faster," Chekroud explained.
In 2016, Chekroud, Koh, and Abhishek Chandra founded the company. Spring Health now works with over 150 businesses, ranging from startups to multinational Fortune 500 corporations.
Spring Health now works with over 150 businesses, ranging from startups to multinational Fortune 500 corporations.
The mental health market is thriving, and investors are pouring money into it. According to CB Insights, global equity funding for mental health startups will reach $2 billion in 2020.
According to Chekroud, having so many point solutions on the market can cause friction for employers looking for a single integrated technology, according to Chekroud. , solution. Chekroud believes. Chekroud believes.
"Employees dealing with burnout, drug or alcohol abuse, disruption to childcare, difficulty finding care for employees or their family members, and high employee turnover are among the many mental health challenges confronting the world's largest employers right now.
When you face any of these problems, it can affect the entire family. We realized we had a once-in-a-lifetime opportunity to bring all of these pieces together into a unified solution "He stated this in a statement.
Spring Health intends to expand its employer footprint as well as its partnerships with health plans, beginning with investor Guardian Life, a life, disability, and employee benefits provider.
"Providing mental health resources and well-being support is a top priority for Guardian and an urgent need for our customers," said Michael Prestileo, Guardian Group Benefits' head of strategy, product, and underwriting. "We are thrilled to be collaborating with Spring Health, an innovative leader in this space, to bring to market the industry's first integrated solution."
Spring Health may also consider acquisitions to expand its capabilities. "As part of our integrated strategy, we would look into companies that we could acquire. There are numerous point solutions, some of which are extremely effective at solving a specific problem. It makes sense to consider acquiring those solutions if they fit into our integrated offering "Chekroud explained.
The digital health market is seeing an IPO boom as high valuations and investor interest push companies to go public in order to access capital-raising opportunities.
In an interview with Forbes, Koh stated that her short-term goal is to go public.
Spring Health, according to Chekroud, is dead set on building a substantial, stand-alone mental health company. "We've built a great business that's rapidly expanding," he said.
Christian Scherrer of Kinnevik will join Spring Health's board of directors as part of the financing.
Existing investors Tiger Global, Northzone, RRE Ventures, Rethink Impact, Work-Bench, the William K. Warren Foundation, SemperVirens, Able Partners, and True Capital Ventures participated in the financing round, which included both equity and debt.