mHealth companies raised $728 million in Q1 2020, a 35% increase YoY (year-over-year) compared to $540 million raised in Q1 2019, according to Mercom Q1 2020 Digital Health Funding Report.
Within mHealth, mobile apps focused on care, communication, fitness, and wellness, secured $365 million in Q1 2020, followed by Wearable Sensor technology companies with $286 million, and Mobile Wireless Technology & Device companies with $78 million.
The top five funding deals accounted for 81% of the total $728 million VC funding in Q1 2020. The remaining amount was distributed between 22 mHealth companies.
ClassPass, a provider of app-based unlimited access to fitness and wellness classes across multiple gyms and studios, raised $285 million in Series E round. L Catterton and Apax Digital led the round, with participation from existing investor Temasek. The company has raised over $500 million since its founding in 2013.
Element Science, a provider of patch-based wearable cardioverter defibrillator that monitors a patient’s heart, raised $146 million in Series C financing. Deerfield Healthcare and Qiming Venture Partners USA led the funding round with participation from Cormorant Asset Management, Invus Opportunities, Third Rock Ventures, and GV (formerly Google Ventures).
Hinge Health, a developer of wearable bands with motion sensors that help employees recuperate from musculoskeletal problems such as the lower back, knee, shoulder, and neck pain, raised $90 million in Series C funding. Bessemer Venture Partners led the financing round with participation from Lead Edge Capital and existing investors Insight Partners, Atomico, Heuristic Capital, 11.2 Capital, and Quadrille Capital.
Bigfoot Biomedical, a developer cloud-based type 1 diabetes management system, raised $45 million in Series C funding. Abbott led the round with support from existing investors, including Quadrant Capital Advisors, Senvest Capital, Janus Henderson, and Cormorant Asset Management.
Oura Ring, a Finnish startup that creates a smart activity and sleep tracking ring, raised $28 million in a Series B funding from Forerunner Ventures, Square, and Gradient Ventures.
The digital health sector saw its best first quarter since Mercom began tracking its decade ago, logging $3.6 billion across 142 deals. Click here to learn more
Image Credit: classpass