Spring Health garners $100M, bringing its valuation to $3.3B

Spring Health, which offers AI-enabled digital mental healthcare and navigation services, raised $100 million in a Series E funding round, raising its valuation to $3.3 billion.

Generation Investment Management led the round, which included participation from existing investors RRE, William K. Warren Foundation, Northzone and Kinnevik.

WHAT IT DOES

The New York-based company works with employers and health plans to connect individuals with virtual mental health services. 

Members take an assessment that screens for 12 conditions and then receive a list of mental health providers to undergo a clinical evaluation. They then receive a comprehensive care plan with personalized recommendations from their care provider and can access Moments, the company's on-demand digital exercises.

The company touts that it offers equitable and inclusive care and that its customers include Target, Microsoft, Delta Airlines and J.P. Morgan Chase.

"Spring Health started as an academic research project that sought to prove technology could help caregivers get people healthier faster. Our continued growth trajectory means more people are getting the care they need and this new funding allows us to double down on our strengths, increase access, scale our impact, and continue to deliver even greater ROI to employers," April Koh, cofounder and CEO of Spring Health, said in a statement. 

"I am grateful to our investors for their continued support and to welcome a new partner in Generation, an organization that believes expanding access to mental health will influence global and generational change in human behavior. By providing world-class mental healthcare and decreasing overall employer spend on healthcare, we believe we're on track to build one of the world's most valuable companies."

MARKET SNAPSHOT

Spring Health raised $71 million in April 2023, two years after securing $190 million in Series C funding. 

In 2022, the company acquired Weldon, which provided mental wellness guidance to parents through chats with therapists, social workers and parenting coaches, as well as group support and educational content.

Earlier this year, the company announced that it would expand its platform to be available in over 30 languages by the end of the year, and it launched Community Care, an initiative to advance mental health equity by addressing social determinants of health like unsafe living conditions, food insecurity and childcare challenges. 

Other companies offering employers mental health platforms include insurer Cigna's health services subsidiary Evernorth, stress and wellness app Calm, digital mental health company Headspace, and employer-focused digital mental health provider Lyra Health.