Omada Health, a virtual and in-person program for managing chronic disease, raised $57 million from investment fund Perceptive Advisors, according to CNBC.
Founded in 2011, the company has raised over $250 million to date; the company raised $73 million in 2019, at $600 million valuations.
Omada Health provides a digital preventive health care program. The program is or people living with prediabetes, type 2 diabetes, and hypertension. Combining data-powered one-on-one coaching, connected devices, and weekly interactive lessons, the program is designed to build healthy patterns for life.
In the past five years, Omada Health has expanded its scope to offer more services tailored to those with behavioral health challenges and a range of cardiovascular conditions. Many of the patients it treats have overlapping conditions, known as co-morbidities – for example, they might have diabetes and struggle with depression.
As an increasing number of patients turn to remote care during COVID-19, Omada Health also announced the acquisition of Physera, a telehealth company that provides personalized care for muscle and joint pain delivered by licensed PTs through a smartphone.
Through the deal, Omada is adding Physera’s musculoskeletal solution to its suite of digital care programs for the prevention and self-management of diabetes, hypertension, and mental health.
“Integrating a digital physical therapy solution better equips Omada to meet the pressing needs of the current moment and accelerates our progression towards a fully integrated care experience to address the needs of our partners and participants,” said Omada CEO and co-founder Sean Duffy. “We’ve long believed that human-led digital care should be the first option for those dealing with chronic conditions, mental health issues, and a host of other needs. Today’s announcement positions us to deliver true whole-person care, and true value, better than any other digital health company.”
According to the company, over half of Americans report a chronic musculoskeletal condition in any given year, and approximately 1 in 5 healthcare visits are for a musculoskeletal issue. Total spending on musculoskeletal conditions in the U.S. exceeds $200 billion annually, with an average cost of $7,800 per person. Over 75% of patients with Type 2 diabetes or obesity report having at least one joint mobility issue.
Telehealth or virtual care providers raised $930 million in Q1 2020, according to Mercom Q1 2020 Digital Health Funding Report.
Image Credit: Physera