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 funding round, with participation from Thrive Capital, Tiger Global Management, and other existing investors.
Rightway supports more than 500,000 members across 850 clients, according to the press announcement.
The company’s offerings are delivered to members via a consumer-centric app, which connects users with live care teams and the tools to choose care services or medications at lower prices.
“Rightway is building the most comprehensive platform within the enterprise healthcare ecosystem – a digital-first front door that provides every member the same experience as having a doctor in the family,” said Jordan Feldman, Rightway’s CEO.
Jordan Feldman added: “By pairing navigation with a new-to-the-world PBM, we believe that we are in the best position to engage employees, support their longitudinal healthcare journey, and substantially reduce costs for the member and their employer.”
As part of the funding, Samir Kaul, a founding general partner at Khosla Ventures, will be joining Rightway’s board of directors. “We’re excited to partner with Rightway as they continue to redefine the member experience in healthcare, improving outcomes and reducing the cost of care for their clients,” said Kaul. “PBMs are broken. Rightway’s approach of creating alignment and transparency while introducing its best-in-class navigation is poised to fundamentally disrupt a $500B market for employer pharmacy spend,” he added.
Including the latest funding round, Rightway has raised over $130 million to date. With new funds, the company plans to develop RightwayRx, a pharmacy benefits platform launched last year, and more broadly strengthen its foothold among employers, health plans, third-party administrators, and other potential clients.
mHealth apps raised $1.4 billion in 2020, compared to $1.2 billion in 2019, according to the latest funding report. Recently, Grand Rounds, a healthcare navigation and expert medical opinion solutions provider, secured a funding round led by investment funds affiliated with The Carlyle Group.