Over the past few weeks, mental health funding has been as hot as the weather.
Spring health became the latest startup in the sector to raise a major fund, securing $100 million in Series E at a $3.3 billion valuation — a 65% increase from the $2 billion valuation it achieved in 2021 after raising $190 million in Series C.
He led the recent round Generational investment managementwith the participation of current investors, including Kinnevik, William K. Warren Foundation, RRE Projects AND North ZoneFounded in 2016, the company has raised nearly $467 million, according to Crunchbase.
New York-based Spring Health partners with employers to provide mental health services to their employees. The company also uses artificial intelligence to help members get care 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, expand access, scale our impact, and continue to deliver an even greater return on investment to employers,” said co-founder and CEO April Koh In release.
Funding for mental health care is on the rise
In the past few weeks alone, mental health has seen its biggest increases this 12 months, with Spring Health, a New York-based Talkiatrya startup dealing with psychiatric care, raised $130 million in mid-June. The round consisted of a combination of Series C equity financing led by Andreessen Horowitzand debt financing from Bank of California.
And just last week, the mental health care platform Progress closed a $100 million Series D round led by Spark CapitalThe recent funding values the company at $2.3 billion — a 130% increase from October, when it raised $125 million in Series C funding at a valuation of $1 billion.
Although funding for mental health care was well below its 2021 peak, it remained relatively stable this 12 months.