Telehealth Company MDLIVE announced a $50 million equity investment round from Sixth Street Growth, the growth investing arm of Sixth Street, an investment firm.
In a separate round, the company secured another $25 million in a debt financing round. BofA Securities acted as a placement agent.
MDLIVE plans to use the new funds for the ongoing strategic expansion of its virtual primary care digital health platform. The funds will also support the launch of the company’s products and services used by more than 45 million members in the U.S.
The company provides telehealth services through (web or mobile app) its network of board-certified physicians, dermatologists, psychiatrists, and therapists. It also partners with health systems, payers, and employers to provide its virtual care services as a member benefit.
MDLive reported a significant growth in the telehealth business that has been accelerated by the COVID-19 pandemic. The company said that virtual visits nearly doubled in the first half of 2020, while total bookings grew by over 300%.
The company also highlighted over 500% year-over-year growth in its behavioral health visit volumes through July, more than350% for dermatology, and over 80% for general medical care.
Charles Jones, Chairman & CEO of said MDLIVE, said: “As the demand for MDLIVE’s offerings has reached all-time highs, we remain focused on the expansion of a single, proven technology platform with the flexibility to integrate with devices and the capacity to leverage AI and ingest vast volumes of data necessary for proactive and preemptive care.”
The latest funding round comes more than two years after a $50 million funding round in 2018. Founded in 2009, MDLIVE has raised nearly $200 million equity funding to date. The company’s existing investors include Cigna Ventures, Health Care Service Corporation, Health Velocity Capital, Novo Holdings, Industry Ventures, Sentara Healthcare, Sutter Health, Heritage Group, and Bedford Funding Capital.
Telehealth companies raised almost $2 billion in the first half of 2020, according to the Mercom latest report. Recently, Medefer, a virtual healthcare provider, raised $13 million in a funding round led by Nickleby Capital, an investment firm.
Learn more about other telehealth funding deals.
Image Credit: MDLive