Digital mental health company Cerebral announced that it closed its Series A funding round with $35 million. The investment was led by Oak HC/FT with participation from Westcap, Liquid 2 Ventures, Gaingels, Air Angels and other unnamed investors.
WHAT IT DOES
Cerebral is a membership service that offers clients telehealth visits with a provider and monthly chats with a care counselor. After a client signs up for the service they are matched up with a provider and a care counselor. The provider is able to come up with a treatment plan, which can include medication.
As part of the service, the company can ship clients their medications in the mail. After the initial consultation the service offers clients the ability to chat and check in with the provider over time. The company also offers an app that helps patient track and report symptoms on a monthly basis.
The plan is $99 a month for the medication and basic care package, $399 a month if a patient chooses to see a therapist weekly instead of having monthly visits with their care counselor, and $259 a month for weekly sessions with a licensed therapist. It is FSA/HAS eligible. According to the company its services are geared towards individuals living with anxiety, depression and insomnia.
WHAT IT’S FOR
The company plans to use the new money to expand into all 50 states. The $35 million will also go towards making partnerships with insurers and building out an app that can support the clients care needs.
The mental health space is hot in digital health. In the first half of 2020, Rock Health reported that digital behavioral health companies scored a whopping $588 million in funding. Several of these companies received over $100 million. Medication app Headspace finished its Series C raise with $100.7 million in equity.
In May Mindstrong, a company that caters to payer organizations to offer services to its members, scored $100 million in funding. The service lets patients access video and phone conversations with providers and can help track digital biomarkers.
Other major player in the behavior health space include Talkspace, which scored $50 million in 2019; Big Health, which locked in $39 million in Series B funding earlier this year; and SilverCloud, which made a deal with Walmart last year.
ON THE RECORD
“Through proactive management and tracking, Cerebral has bridged gaps in clinical care and reduced barriers to connecting patients to the specialized mental healthcare they need,” Billy Deitch, principal at Oak HC/FT, said in a statement. “Cerebral is tackling a fast-growing need in the market, and consumers are eager to use these services. We’re thrilled to see how Cerebral continues to revolutionize the healthcare industry and shape telehealth adoption.”