Valera Health announced that it has raised $44.5 million in a growth equity financing round led by Heritage Group.

Others participating in the raise include Horizon Healthcare Services and Cigna Ventures, as well as existing investors Windham Ventures, AXA Venture Partners, Aquiline Technology Partners, Trinnovate Ventures, Figure Eight Investments, Watershed VC and Alsora Capital.

According to Crunchbase, the new investment brings the New York-based company’s total funding to over $71.4 million. 

WHAT IT DOES

Valera developed a virtual mental health platform for high-acuity patients with serious mental illness and severe depression. Patients aged six and above can use the service to receive personalized treatment and to have a place to coordinate their care.

The company matches patients to a health coach, who helps them find a therapist or doctor who meets their needs. Patients can then sit down with their care team to create treatment plans and goals.

The company works through a team-based model that includes nurse practitioners, licensed therapists, case managers and psychiatrists. Clients can reach providers through the Valera app. The company also offers a library of mental health resources. 

"Valera’s ability to engage patients, improve outcomes and reduce total cost of care for populations ranging from lower acuity to the seriously mentally ill population has established the practice as a leader in the behavioral health space," Lauren Brueggen, partner at Heritage Group, said in a statement.

"We are excited to partner with Dr. Thomas Tsang and the entire Valera Health team as the company continues to increase access to high-quality behavioral healthcare and expands its deep partnerships with the leading health systems and health plans across the country."

MARKET SNAPSHOT

In November 2021, Valera Health announced a $15 million funding round led by Windham Venture Partners, which the company used to expand its partnerships. 

There are a number of digital mental healthcare providers, and behavioral healthcare continues to be a large use case for virtual care.

Other companies are aiming to tackle higher-acuity mental healthcare. Iris Telehealth recently raised $40 million. Sensible Care scooped up $13 million to expand in states with large populations of patients covered under TRICARE. UpLift announced an $8 million raise late last year to add psychiatry services.