Consumer digital health company Livongo has raised $52.5 million in a growth round of funding led by General Catalyst and Kinnevik, with participation from Microsoft Ventures, EDBI, and American Investment Holdings.
Founded in 2014, Livongo combines technology and coaching to help people manage diabetes, providing its members with real-time personalized data and support to make diabetes management easier. For example, the company makes a little connected meter that automatically uploads blood glucose readings to the cloud, with Livongo able to offer insights and coaching through the meter and associated mobile app to help users make improvements.
Livongo doesn’t just target individuals, it also targets big companies and health plans looking to optimize their health care spending. The California-based startup has now raised a whopping $142 million since its inception, and says that its fresh cash influx will be used to expedite its existing diabetes management tools and expand to cover additional chronic conditions. It also plans to expand internationally later in 2017.
“Our team is focused on empowering our members to live healthier lives, not just manage their chronic conditions,” said Livongo CEO Glen Tullman. “That means we have to address all of their health issues in a comprehensive way. In addition to diabetes, we’re focused on extending our program to support other chronic conditions like hypertension and to continue to deliver an experience that our members love while improving clinical results and lowering costs.”
Digital health startups have been sucking up investors’ cash in recent times. Back in August, on-demand health care concierge Accolade closed a $93.6 million round led by Andreessen Horowitz to help employers cut health care costs. And a few months later Vida Health raised $18 million to connect people with chronic diseases to health coaches. Dedicated investment funds are also opening up, with Seattle’s Biomatics Capital Partners yesterday announcing the closure of its first fund at $200 million to invest in early-stage health startups.
“Livongo is one of the fastest growing companies in our portfolio, and we are happy to double down to help the team expand their market leadership,” said Hemant Taneja, managing director at General Catalyst.