Virtual mental health provider Valera Health raises $44.5M

The company treats high acuity patients, including those with depression and schizophrenia

As funding to the digital health space drops back to pre-pandemic levels, the mental health space still reigns supreme. Even a funding fell 60% in the first quarter of this year, there was still a total of $1.7 billion invested through the first three quarters of the year, thanks to companies like Woebot, Daybreak Health, Forge Health, Motivo, PsychHub, and Talkiatry.

The latest mental health startup to raise funding is Valera Health, a virtual mental health provider serving high acuity patients, which announced a $44.5 million growth equity round on Monda.

The round was led by Heritage Group, with participation from Cigna Ventures, Horizon Healthcare Services and existing investors, which include Windham Ventures, AXA Venture Partners, Aquiline Technology Partners, Trinnovate Ventures (BCBS AZ), Figure Eight Investments, Watershed VC, and Alsora Capital. The company last raised a $15 million round of funding in November of last year.

"We are honored to partner with Heritage Group and to deepen our partnerships with Cigna, Horizon Healthcare Services and Blue Cross Blue Shield Arizona," Dr. Thomas Tsang, CEO of Valera Health, said in a statement.

"This financing will enable us to make quality mental health care accessible for those most in need, including those with serious and persistent mental illness."

Founded in 2015, the New York City-based Valera Health partners with healthcare systems and health plans that cover over 50 million lives across in New York, New Jersey, Massachusetts, Vermont, Arizona, Washington, and Connecticut. The company delivers clinical care to their patients and members, including adults, adolescents, teens, and children who have high acuity conditions, meaning those with patients with mild depression to schizophrenia.

Here's how it works: patients are able to schedule a free consult with one of Valera'a health connectors, who will call their phone directly during their scheduled appointment time. The patient and the health connector work together to make sure that the care is the right fit; during the consult, the health connector will assess the patient's needs and answer any questions they may have. The company will then matches the patient with a qualified provider and schedules their first appointment. 

The company deploys a team-based model that includes licensed therapists, nurse practitioners, case managers, and psychiatrists who works with the members to create a treatment plan to meet their goals. Patients can connect to their care providers through Valera's app and participate in sessions using its built-in video platform.

Valera serves BIPOC and LGBTQ+ communities through culturally-intentional care and a diverse, multilingual provider network where more than 50% of clinicians self-identify as Black, Hispanic, or Asian.