Holmusk Raises $21.5 Million for Digital Mental Health Services

Holmusk, a provider of mental health services through its platform, raised $21.5 million. Optum Ventures and Health Catalyst Capital co-led the financing round, with participation from Heritas Capital.

The company creates digital behavior change programs (e.g., GlycoLeap) designed to support people towards better health. As part of the investment, Dr. Vijay Barathan from Optum Ventures (OV) and Charles Boorady from Health Catalyst Capital (HCC) will join the company’s Board of Directors.

The Singapore-based company, founded in 2015, has raised over $30 million to date, including a $9.75 million seed financing round in 2018, which was led by Heritas Venture Fund.

The company plans to use new funds to expand its U.S. operations in New York City, and further invest in its proprietary technology.

“In situations like today, the need for Real-World Evidence is more pronounced than ever,” said Nawal Roy, Holmusk’s Founder & CEO of Holmusk. “We are fortunate to bring on partners like Optum Ventures and Health Catalyst Capital who understand the importance and are excited to join us in our mission to drive evidence-based care.”

Holmusk is also expanding its platform in behavioral health. Having acquired MindLinc (an electronic health records system focused on behavioral health) in 2016, from Duke University School of Medicine, the company holds one of the largest behavioral health databases. Its platform leverages scientific research and digital healthcare data to inform predictive algorithms and provide actionable insights for personalized medicine.

“By redefining the EHR from a repository of data to a clinical decision support tool with connectivity to digital therapeutics, Holmusk is uniquely positioned to improve patient care while reducing administrative burden and supporting the research and development of new care models and therapies,” said Charles Boorady, the Founding Managing Director of Health Catalyst Capital.

Digital mental health companies have raised over $500 million since 2013, according to Mercom Database. Recently Mindset Health, a creator of mental health programs that help people manage and improve their health, without drugs or diets, raised $1.1 million in a funding round, according to TechCrunch. Investors include Fifty Years, Y Combinator, Gelt VC, Giant Leap VC, and angel investors across the U.S. and Australia.