Modern Health, the mental health and wellness platform supporting 190+ enterprises globally, today announced a $51 million Series C investment round led by Battery Ventures. Other participants in the round include Felicis Ventures and existing investors Kleiner Perkins, Founders Fund, 01 Advisors, Afore Capital, and Okta’s Frederic Kerrest. The latest funding comes less than a year after Modern Health announced its Series B, bringing the company’s total funding to over $95 million and current valuation between $500M and $1B.
Mental health has become a core pillar of the corporate benefits stack, as employers recognize the impact of mental health issues on the workplace — which can result in as much as $500 billion of lost productivity per year. COVID-19 has exacerbated an existing mental health crisis, one that will persist after the pandemic is resolved, and the number of covered lives on Modern Health’s platform has more than doubled this year as a result. As an employer-focused solution offering a fully integrated mental health platform, Modern Health’s evidence-based approach provides employees access to mental health care for all levels of need, utilizing therapists, coaches, and digital content to deliver support via one comprehensive, consumer-friendly app.
HR Technology News: Avi Flombaum Joins Revature As Chief Product Officer
“With a shortage of therapists and rising costs blocking access to support, the mental health industry is reaching its breaking point. At Modern Health, we are dedicated to destigmatizing mental health in the workplace and ensuring as many people as possible get cost-effective mental health care,” said Alyson Watson, founder and CEO of Modern Health. “Every employee should have equal access to quality mental health support — and we will continue to expand our offering to respond swiftly to demand.”
Since the last round of funding, the company has tripled its employee headcount and doubled its customer base, now serving 190+ enterprise clients globally. Modern Health’s client roster includes early adopters of the platform (Pixar, SoFi, Okta, Carta, Electronic Arts, Rakuten) and a growing list of more recent additions, including Clif Bar, Zendesk, Udemy, and TripActions. Modern Health will use this funding to meet accelerating demand for its mental health services, expand its global provider network from 35 languages to 50+, and continue to provide new, innovative solutions to support healthy workforces around the world.
As Modern Health continues to grow at scale, two industry veterans have joined the company’s board: Roger Lee, General Partner at Battery Ventures and lead investor in category-defining companies like Gainsight and StockX, as well as Penny Herscher, longtime technology industry thought leader and former CEO of Simplex and FirstRain.
HR Technology News: Talview’s Remote Hiring Trends Survey Uncovers Key Recruitment, Team Building, And Technology…
“It’s clear that providing access to comprehensive and accessible mental health resources has a lasting impact on a company’s employees — and its bottom-line,” said Lee. “Modern Health is not only dedicated to increasing access to critical mental health support across the globe, but also to helping companies build stronger, more resilient workforces. Watson and the entire Modern Health team are working toward a better future for mental health care.”
“Employers are waking up to the fact that their medical claims costs were already heavily driven by mental health issues going unaddressed,” said Herscher. “The pandemic is shining a spotlight on a larger problem, and the companies who address it now will be the ones who keep costs under control and deliver successful profits moving forward. Modern Health’s innovative solution addresses urgent disparities in mental health care access and delivers personalized care recommendations to meet individuals where they are. It’s an absolute honor to join this visionary company as it grows.”
HR Technology News: Fieldwire Announces Custom Task Statuses To Help Users Streamline Work In The Field And The Office