Tonal meets home workout demand with $110M; Kaiser Permanente leads Osso VR's $14M; and more digital health fundings

Also: Hospital and health system software maker Olive closes $106 million; Ready's tech-enabled on-demand home care locks up $54 million.
By Dave Muoio
02:54 pm

Tonal has brought in $110 million from investors, the connected fitness company announced last week. L Catterton, Sapphire Sport, Shasta Ventures, Mayfield, Evolution Media and THVC each renewed their support in the AI-powered exercise-machine service, while new backers included Delta-v Capital, the Amazon Alexa Fund, Mouse Partners and a trio of high-profile athletes – basketball players Stephen Curry and Paul George and professional golfer Michelle Wie.

By pairing adaptive-resistance weights with digital features, Tonal said that it's seen sales increase in 2020 to more than 12 times that of the previous year. With this raise, it aims to accelerate marketing initiatives while simultaneously ramping up its supply chain and logistics to meet demand. The company will also be targeting new software-based additions to its product, new fitness content and a research project with the Mayo Clinic.

“As we see more people exercising from home, Tonal’s rapid growth underscores its differentiated approach to providing consumers with a personalized, connected strength-training experience,” Jon Owsley, comanaging partner of L Catterton’s Growth Fund, said in a statement. “We are excited to reinvest and further extend our partnership with Aly, the Tonal team, and a growing roster of valuable strategic investors to expand the company’s market leadership and AI and technology-driven offerings.”

Osso VR, a virtual reality platform for surgery training, announced today the close of a $14 million Series A round led by Kaiser Permanente Venture. SignalFire, GSR, Scrum Ventures, Leslie Ventures and OCA Ventures also took part.

The company notes that it recently unveiled an updated version of its platform, and that its products are now being employed by more than 20 teaching hospitals and 11 international medical device companies. The company did not specify how it would be deploying the new funds.

“Being able to perform safe repetitions of procedures has great value, whether it’s for a new resident or an experienced physician who is learning an innovative procedure," Amy Belt Raimundo, managing director at Kaiser Permanente Ventures, said in a statement. "Virtual means of training eliminate the restrictions of geography and associated travel costs, so that training can scale regionally, nationally and globally. Nothing has underscored the value of the distributed training model more than the challenges presented by the COVID-19 pandemic.”

Olive, a startup that develops artificial intelligence and automation software for providers, has raised $106 million in new funds. General Catalyst and Drive Capital headlined the investments, which included Ascension Ventures, Oak HC/FT and SVB Capital as well.

The company says that its tools have been adopted by more than 600 hospitals. With more than $220 million in lifetime funding, it swelled to more than 360 employees, including 67 hires in the month of August alone, it said.

“The AI workforce is the biggest impact to health systems in our lifetime,” Sean Lane, CEO of Olive, said in a statement. “Olive has become a piece of critical infrastructure for hospitals and a trusted, reliable product that expands human capacity at a time when resources are more precious than ever. The AI workforce has become the ‘new normal.’ And while we are excited about this latest investment, we’re just getting started.”

Ready, a tech-enabled on-demand healthcare service previously known as Ready Responders, has locked up $54 million in new funding. GV, Deerfield Management Company, City Light Capital, Town Hall Ventures and Frist Cressey Ventures were all listed among the startup's investors.

Ready's approach sends nurses, paramedics or EMT "Responders" to a patient's home, where they deliver acute or longitudinal care with the support of clinicians via telehealth. The company said that it would be building out its operations and clinical programs with the new funds, and noted that its model will expand to include mental health, expanded point-of-care testing, vaccinations and more down the line.

“Ready’s growth echoes the desire in communities across the country to receive quality healthcare from the comfort of their home,” Justin Dangel, Ready's founder and CEO, said in a statement. “We’re able to deliver this unique healthcare experience thanks to our incredible team of professionals who have set a new standard for in-home care. With this financing, we can expand our service offerings, bring more quality care directly to more patients and keep building a team of talented individuals who share our values and believe in our mission.”

LifeSpeak, the maker of an employee mental-health-and-wellness digital platform, said last week that it has received $42 million in equity investments from Round13 Growth Fund, Kensington Capital Partners and Roynat Capital.

The company's Saas platform hosts over 2,000 pieces of proprietary content such as podcasts and video training sessions focused on preventative health, mental health and relationship support. Although founded in 2004, this is the LifeSpeak's first institutional funding round to date, and will help the company to support global growth efforts.

“The current health crisis has highlighted the difficulty organizations face in addressing the needs of the anxious, remote workforce,” Michael Held, founder and CEO of LifeSpeak, said in statement.

“We’re excited to partner with our new investors to dramatically expand access to LifeSpeak’s platform across health plans and employers. Addressing depression, anxiety, addiction, and other health issues enhances employee well-being and strengthens corporate culture and productivity. Building resilience enables companies to support employees in the face of everyday stress, as well as equipping them to better handle an acute crisis such as the COVID-19 pandemic.”

RapidAI, a technology startup specializing in imaging analysis software, announced last week a $25 million Series B round headed by Lennertz & Co.

The company's platform uses AI to build high-quality CTs and MRIs, with the end goal of helping clinicians make faster and more accurate treatment decisions for patients with strokes or aneurysms. The company said the raise would help advance its platform.

“In the last year, we have expanded our scope from ischemic stroke to hemorrhagic stroke, and with the recent acquisition of EndoVantage, we now address aneurysm," CEO Don Listwin said in a statement. "In these difficult global times, this investment is a significant sign of support, that while others are shrinking and shuttering, we are investing and growing to help build efficient stroke networks across multi-site systems and referral networks.”

Minneapolis-based telemedicine startup HealtheMed noted the launch of its Medicaid-focused telemedicine platform with the closure of a seed round of funding from angel investors. The amount of the raise was not disclosed.

HealtheMed's approach relies on a two-way synchronous communication system consisting of a large TV, attached cameras and a microphone, This system is installed in Minnesota Medicaid members' homes through a partnership with Best Buy's Geek Squad. The company said that its seed funding would help launch this service, and expanded into additional U.S. markets.

“Every state, including Minnesota, has thousands of Medicaid enrollees who cannot easily leave home because of their chronic health conditions and diseases,” said Tom Spencer, CEO of HealtheMed. “By installing a minic-linic in the homes of these vulnerable people, HealtheMed can help bring safer, lower cost medical care to the people who need it most.”

London-based startup DrDoctor, which offers a digital platform for patient communications and other hospital task, has secured $3.8 million in Series A investment from venture capital firms, Ananda Impact Ventures and 24Haymarket.

The funding will be used to expand its digital services platform and increase its reach across the U.K. Specifically, it will allow DrDoctor to expand its remote-patient-management and data solutions, reducing face-to-face appointments and helping improve clinical risk stratification.

Dozee, an Indian contactless remote-monitoring startup, has raised about $1.7 million from Prime Venture Partners, YourNest Venture Capital and 3One4 Capital, The Hindu Business Line reports. With this, company hopes to expand its market outreach and enhance the capabilities of its technology. Of note, it also is looking to global regulatory certifications such as FDA clearance.

Dozee's technology is an under-the-mattress sensor that captures vitals such as heart rate, respiration rate, oxygen saturation and sleep health metrics. A software components translates these readings into biomarkers viewable through a smartphone app.


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