Virtual mental health care provider Iris Telehealth has secured $40 million in Series B funding led by Concord Health Partners and Columbia Pacific Advisors.
what’s he doing
Iris provides telemedicine services through partnerships with providers such as health systems, hospitals, and community health centers. The company can also help its clients triage patients who need more advanced mental health care and send them to physicians who have the appropriate license.
“We are hearing this loud and clear from our community partners and our partners in the institutional health system that they need, number one, a better way to actually improve productivity, which means PCP [primary care provider] Referral and that means follow-up to discharge,” said CEO Andy Flanagan Moby Health News.
“They also need more help with technology and integrating technology that is already on-site and not already configured for behavioral health. Then, finally, they need a clinical partner who can escalate immediately, so that individual doesn’t end up in the emergency room.”
What is its purpose?
The start-up virtual care plans to use the capital inflow to improve its technology infrastructure and scale its go-to-market plan, as well as expand its clinical operations team and invest in physicians.
“Most importantly, we have long-term relationships. The average contract term with our clients is over four years, and our retention of our doctors and the work they have matches that,” Flanagan said.
“So we think about our doctors’ lives as both individuals and clinicians. And so we look for stability, we look for length in terms of continuity of care, because you become an integral part of the care team.”
Mental health is A thriving sector for health technology investors. Even as digital health funding declined during the first quarter of this year, Rock Health still ranks mental health as the leading clinical area of investment, bringing in $1 billion.
Late last year, UpLift It raised $8 million to add psychiatry services to its offering, allowing it to manage even more complex mental health needs. Talkiatry, another tech-backed psychiatric care startup, closed a Series A of $37 million in January.
However, there are a variety of tools aimed at improving mental or behavioral health from the recent incorporation Headspace Health for the employer-focused training company BetterUp.
“There are a lot of solutions emerging for stress, anxiety and depression. So when these situations escalate, no one is there. We are that escalation team,” Flanagan said.
“We view all of these solutions as complementary, anything that keeps a patient, consumer, or one of our friends or family out of the facility, or helps them attend a regularly scheduled session.”