Happify Health Raises $73 Million for Digital Mental Health Platform

Digital mental and physical health therapeutics startup Happify Health announced $73 million in Series D financing to advance and expand the company’s healthcare platform, focused on digital therapeutics and patient care delivery.

Deerfield Management Company led the funding round and included participation from Omega Capital Partners, ION Crossover Partners, and existing investors.

According to Happify Health, the company’s digital telehealth therapeutics platform utilizes an evidence-based approach that delivers scientifically-validated programs. The programs are created to manage chronic conditions and also provide access to telehealth, AI-powered coaching, and access to therapeutics, the company said.

Happify Health says it offers two core digital solutions for its customers and end-users: Digital Therapeutics and Care Delivery solutions and services across the healthcare ecosystem, including enterprises, health plans, health systems, pharmaceutical manufacturers, and individuals. According to the company, the therapeutics platform supports more than ten chronic conditions and covers more than 20 million lives.

Happify Health said the new capital support growth in key strategic areas across the entire platform, including expanding the Digital Therapeutics and Care Delivery solutions and global business expansion. The new capital will also support the development of Artificial Intelligence and Machine Learning-based models that power Anna, a software-based coach designed to help and engage individuals for several chronic conditions, most notably mental health, the company said in a statement.

“Today, our platform covers more than 20 million lives, with more than 5 million individuals having received care through our platform. We are also working with five leading pharmaceutical partners on digital therapeutic solutions and four out of the five national payors to help support their members’ mental health and chronic illness needs,” said Tomer Ben-Kiki, Co-Founder and CEO at Happify Health.

Lee Cooperman, CEO at Omega Capital Partners, said: “The unique platform-based strategy which utilizes software to engage patients, enterprises and pharmaceutical companies has put Happify in a position to become a patient-care destination to solve many unmet needs in healthcare. We are looking forward to playing a role in helping scale the business while helping individuals live healthier and happier lives.”

Telehealth companies secured a record $4.3 billion VC funding during 2020. The funding amount was a 140% increase in 2020, compared to $1.8 billion raised in 2019. Recently, Lyra Health, a provider of mental health benefits for employers, announced a Series E financing round of $187 million. Learn more