mHealth Apps raised a record $1.6 billion in venture funding in 1H 2021, a 100% increase year-over-year, according to the recently released Mercom’s 1H 2021 Digital Health Funding and M&A Report.
The spike in mHealth apps funding was led by four large funding deals of $100 million or over, accounting for $960 million (60%) of the funding raised in 1H 2021.
In 1H 2021, over 150 investors participated in the mHealth funding rounds.
The U.S.-based mHealth Apps secured $878 million (56%) of the $1.6 billion raised by mHealth Apps in 1H 2021. The rest of the funding was distributed across 13 countries, worldwide including China, Germany, and Denmark, among others.
Top Funded Digital Health App Categories
Digital Fitness and Nutrition apps raised almost $500 million during 1H 2020. mHealth apps focused on Care Navigation & Health Assessment over raised $300 million during 1H 2021.
Mental Health apps (focused on behavioral health, depression, anxiety, addiction, isolation, and stress) secured over $100 million during 1H 2021. Diabetes management apps (focused on blood sugar control, type 2 diabetes, blood pressure, diabetes prevention, and obesity) raised nearly $100 million 1H 2021.
Other apps focused on Care & Communication raised almost $600 million during 1H 2021.
Top Funded mHealth Apps in 1H 2021
Keep, a Beijing-based fitness app closed a Series F financing round of $360 million led by SoftBank Vision Fund. Hillhouse Capital and Coatue Management participated in the round, and existing investors GGV Capital, Tencent, 5Y Capital, Jeneration Capital, and Bertelsmann Asia Investments also participated. Including the latest funding round, Keep has raised nearly $600 million to date.
Capsule, a digital pharmacy startup that takes electronic prescriptions from doctors through a mobile app and delivers the medication to a patient’s home or office, raised $300 million led by Durable Capital Partners, with participation from past investors Baillie Gifford, T Rowe Price, and Whale Rock.
DispatchHealth, which offers in-home urgent care and hospital-at-home programs using a mobile app, secured an additional $200 million in Series D financing. Tiger Global led the funding round with previous investors Alta Partners, Echo Health Ventures, Humana, Oak HC/FT, and Questa Capital. This latest investment brings the company’s total funding to more than $417 million at a $1.7 billion valuation.
Rightway, which provides a consumer-centric care navigation and pharmacy benefits app, raised $100 million in Series C funding at a valuation of $1.1 billion. Khosla Ventures led the financing round with Thrive Capital, Tiger Global Management, and other existing investors.
Ada Health, an AI-powered symptom assessment, and care navigation app, raised $90 million in Series B funding. Leaps by Bayer, the impact investment arm of Bayer, led the financing round. Samsung Catalyst Fund, Vitruvian Partners, Inteligo Bank, F4, and Mutschler Ventures, also joined the funding round.
