Freespira (formerly Palo Alto Health Sciences), an FDA-cleared wireless digital therapeutic system for individuals who have panic disorder, panic attacks, and other panic symptoms, completed a $10 million capital raise led by Lightspeed Venture Partners.
Joining the funding round were previous investors Aphelion Capital, Medvest Capital, and Russell Siegelman (Freespira Chairman).
Freespira offers evidence-based, at-home, drug-free solutions. According to the company, its flagship product, Freespira – an FDA-cleared digital therapeutic significantly reduces or eliminates panic attacks, panic disorder, and post-traumatic stress disorder (PTSD) symptoms in 28 days by training users to normalize respiratory irregularities.
“We are excited to support Freespira’s mission to make its digital therapeutics broadly available for the millions of people who suffer from the debilitating symptoms of panic disorder and PTSD,” said Jonathan MacQuitty, Venture Partner at Lightspeed Venture Partners.
“Freespira is the only product that addresses the underlying physiological cause of the panic disorder and PTSD, a major source of suffering and medical cost, and is well-positioned to address a significant market opportunity within the nation’s commercial payors and the Veterans Administration.”
A study led by Alicia Kaplan, MD, at the Allegheny Health Network in Pittsburgh found that the use of Freespira resulted in 91% of patients reporting a significant reduction in symptoms at 12-months and significant cost savings for the patients’ insurance provider, Highmark Blue Cross Blue Shield.
Dean Sawyer, Chief Executive Officer of Freespira, said: “Now that we have accumulated overwhelming evidence of the clinical and cost-effectiveness of Freespira and achieved FDA clearance for its use treating both panic disorder and PTSD, we believe health plans and employers across the country will support the use of Freespira for their members and employees.”
Mobile Wireless digital health devices have raised over $320 million in the first nine months of 2020, according to Mercom’s latest digital health funding report.