With $57 million in new funding, Omada Health made another acquisition. The company brought in Physera, a digital health company that offers remote physical therapy.
The Covid-19 pandemic has caused more patients to seek care online, and physical therapy is no exception. Through Physera, Omada will be able to offer its members access to video appointments with licensed physical therapists, as well as app-guided exercises and a personalized recovery plan. Omada said it would make Physera’s services available to its members immediately.
“Integrating a digital physical therapy solution better equips Omada to meet the pressing needs of the current moment, and accelerates our progression towards a fully integrated care experience to address the needs of our partners and participants,” Omada CEO and co-founder Sean Duffy said in a news release. “We’ve long believed that human-led digital care should be the first option for those dealing with chronic conditions, mental health issues, and a host of other needs.”
Like Omada, Physera has taken the approach of making its solution available to both employers and individuals. The company sells employers on avoiding unnecessary imaging and preventable surgery, which can quickly become expensive. Game developer Activision-Blizzard is one of Physera’s clients that reportedly saw a decrease in musculoskeletal costs from using its services.
For users who don’t have it covered by their health plan, Physera bills $50 per appointment for its video visits, after a $100 initial appointment.
Omada and its peers have been sweeping up other digital health companies to expand their offerings. When it was founded in 2011, Omada set its sights on developing programs for diabetes and hypertension. Last year, it struck a perpetual licensing agreement with Lantern, a shuttered startup that offered mental health coaching and therapy. With its most recent deal, Omada will add management of musculoskeletal conditions to its roster.
Perceptive Advisors, the life sciences firm that led Omada’s most recent round of funding, said Omada’s plans to add a musculoskeletal solution only furthered their interest in the company.
“Omada’s vision for, and progression towards, creating a true digital care provider is a perfect example of where healthcare is headed,” Perceptive Portfolio Manager Sam Chawla said in a news release. “Adding an MSK solution to their offering accelerates that progression, and made Omada an even more attractive opportunity for us.”
Omada did not disclose the terms of the deal, though CNBC has reported it was worth $30 million.
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