NOCD – a telemedicine startup that provides virtual evidence-based treatment for obsessive-compulsive disorder and mental health, raised $34 million in a growth equity funding round.
Cigna Ventures and 7wireVentures led the investment round with participation from Longitude Capital, Kaiser Permanente Ventures, F-Prime Capital, Eight Roads Capital, and Health Enterprise Partners.
According to the press release, the new funds will help the company to accelerate the expansion of its obsessive-compulsive-disorder-specialty therapist network and community-driven therapy model while deepening its market position.
Since the business was launched in 2018, NOCD has expanded to provide care in all 50 states (in the U.S.) and internationally, delivers more than 250,000 therapy sessions each year, and drives on average a 35% reduction in obsessive compulsive-disorde (OCD) symptom severity. NOCD’s consistent success demonstrates the scalability and efficacy of Community-Driven Therapy, a model that better identifies, engages, and manages people with OCD.
Investors
Cigna Ventures, a healthcare technology-focused venture capital firm has invested almost $2 billion in digital health startups to date. According to our database, the firm’s investment portfolio includes – Alma, Arcadia, AristaMD, Babyscripts, Bright Health, Buoy Health, Cleerly, Cricket Health, Datavant, Ginger, GNS Healthcare, Octave, Omada Health, RecoveryOne, Valera Health, and Zerigo Health.
“Cigna Ventures is focused on working with companies who are bringing forward innovative solutions that can more effectively and efficiently solve some of health care’s biggest challenges,” said Craig Cimini, Head of Cigna Ventures. “NOCD plays a critical role in the behavioral health ecosystem with a proven ability to identify patients in need and seamlessly connect them to evidence-based therapy and tailored resources.”
A similar belief is shared by 7wireVentures. “The status quo in mental health care has been failing patients for too long,” remarked Alyssa Jaffee, Partner at 7wireVentures. “As the market leader in driving more convenient, affordable, and effective treatment for OCD and related conditions, NOCD is a prime example of the kind of innovation needed to solve some of the most complex issues in health care.”
According to our database, telehealth startups providing remote and virtual mental healthcare services have raised more than $10 billion in venture capital funding to date. More recently, Brave Health, a virtual care provider specializing in behavioral healthcare services, raised $40 million in Series C funding led by Town Hall Ventures, with participation from existing investors Union Square Ventures and City Light Capital.
In another deal, Valera Health, a virtual mental health care provider, announced the closing of its $45 million funding round led by Heritage Group, with participation from Cigna Ventures, Horizon Healthcare Services, Windham Ventures, AXA Venture Partners, Aquiline Technology Partners, Trinnovate Ventures (BCBS AZ), Figure Eight Investments, Watershed VC, and Alsora Capital.
