Oak HC/FT leads funding round for mental health care startup
GREENWICH — Oak HC/FT is leading a $35 million Series A funding round for the mental health-focused telemedicine startup Cerebral, the Greenwich-based investment firm announced.
The new funding would allow San Francisco-based Cerebral to expand to all 50 states, support its work on in-network insurance partnerships and help the firm build a mobile app that “brings care directly to the client’s pocket,” according to company officials. Other investors include Westcap, Liquid 2 Ventures, Gaingels and Air Angels.
“Through proactive management and tracking, Cerebral has bridged gaps in clinical care and reduced barriers to connecting patients to the specialized mental healthcare they need,” Oak HC/ FT principal Billy Deitch said in a statement. “Cerebral is tackling a fast-growing need in the market, and consumers are eager to use these services. We’re thrilled to see how Cerebral continues to revolutionize the health care industry and shape telehealth adoption.”
Since its launch in January, Cerebral officials said their firm has helped tens of thousands of patients by providing access to comprehensive mental health care online.
The firm focuses on medication management, counseling and therapy for anxiety and depression.
Cerebral officials also said that they were challenging the mental health care “status quo” of threemonth wait times and bills of more than $500 for initial visits with a psychiatrist. About 80 percent of Cerebral clients can have their initial visit within 10 minutes of signing up, and a monthly membership also gives them access to regular visits and messaging with a care counselor or therapist, according to the company.
Already, more than 200 work for the firm.
Cerebral CEO and co-founder Kyle Robertson cited his personal motivation for creating the business. Even though his parents were mental health clinicians, he said in a statement, “I struggled with my own battle with anxiety and depression. But due to internalized stigma, wait times and cost, it took me years to access care that has totally turned my life around.”
Among other investments in the past year, Oak announced last month that it had contributed to a $106 million funding round for health care startup Olive.
In late winter, it co-led a $15 million investment in Axial Healthcare, whose services help individuals who are at risk of substance addiction or in recovery.
Last December, Oak announced a $20 million allotment to AU10TIX, an identity-verification company. At the same time, the firm said it was leading a $15 million investment in security-management firm Panorays.
In October 2019, Oak announced it was leading a $100 million funding round in financial-technology startup Rapyd.
Founded in 2014, Oak manages about $1.9 billion in assets. Its executive team includes co-founder and managing partner Annie Lamont, who is married to Gov. Ned Lamont.
The firm is headquartered at 3 Pickwick Plaza in downtown Greenwich, with other offices in Boston and San Francisco.