Vida Health, a virtual care platform, raised $25 million in new funding. Ally Bridge Group (ABG) led the financing round, with participation from existing investors, including AME Cloud Ventures, Aspect Ventures, Canvas Ventures, Webb Investment Network, NGP Capital, and Workday Ventures.
The platform is designed to treat multiple chronic health conditions, and support people in preventing, managing, and reversing chronic diseases such as asthma, chronic obstructive pulmonary disease (COPD), pre-diabetes, diabetes, hypertension, hyperlipidemia, obesity, depression, anxiety, sleep, and stress.
The funding will support to meet the increasing demand for virtual care, particularly in mental health, according to the company.
Mental and behavioral disorders affect over 50 million people in the U.S. and, according to the National Institutes of Health, cost the U.S. economy over $193 billion in lost productivity and earnings.
“Vida Health’s virtual approach of continuous care for multiple chronic conditions – focusing on the intersection of mental and physical health – is exactly where healthcare needs to go,” said Jerry Yang of AME Cloud Ventures and co-founder of Yahoo!.”
Founded in San Francisco in 2014, Vida Health has raised over $70 million to date, including a $30 million Series C round in 2019, from GuideWell Mutual Holding Corporation, Teladoc Health, Workday Ventures, and existing investors, and an $18 million Series B round in 2016, which was led by Canvas Ventures.
Virtual mental and behavioral health service providers raised over $1 billion in the past five years, according to Mercom funding data.
Recently, SilverCloud Health, a provider of digital evidence-based programs for conditions such as depression, anxiety, and stress as well as for long-term chronic conditions, and cardiovascular disease, raised $16 million in Series B funding to expand its services.
The company also provides access to personal coaches, nutritionists, fitness trainers, and therapists through its platform.
The global telehealth market is expected to reach $55.6 billion by 2025 from $25.4 billion in 2020, growing at a compound annual growth rate of 16.9%, according to a report by MarketsandMarkets.