Boston-based InStride Health has launched $26 million in new capital to expand its virtual pediatric behavioral health company. The launch comes as the focus on the mental health needs of children and young people continues to grow.
Valtrius, .406 Ventures and Mass General Brigham Ventures participated in this new funding round. The first, Valtrius, is the value-based care investment platform formed by PE giant Welsh, Carson, Anderson & Stowe (WCAS) last August.
Founded in 2021, InStride Health is focused on providing virtual outpatient care for children and adolescents living with anxiety and obsessive-compulsive disorder (OCD). Patients are able to use tailored programs that may include individual and group therapy, along with exercise and medication management.
InStride healthcare teams include psychiatrists, therapists and coaches.
The company is launching during what many in the industry are calling a “pediatric mental health crisis.” In fact, in 2020, 5.6 million children—or nearly 1 in 10 children—were diagnosed with anxiety problems, according to Georgetown University Health Policy Institute Center for Children and Families.
Despite this urgent need, only about 20% of pediatric patients with a mental, emotional, or behavioral disorder receive specialized treatment from a mental health provider, according to American Academy of Child and Adolescent Psychiatry.
In addition to the funding, InStride Health is also announcing a partnership with Mass General Brigham’s McLean Hospital, a Massachusetts-based psychiatric hospital, to provide care. The startup has its roots in McLean Hospital. The co-founders of InStride Health co-developed the McLean Anxiety Mastery Program (MAMP) in McLean.
“InStride’s strategic collaboration with McLean, distinguished for their excellence in clinical care, cutting-edge research and clinical training, positions us to respond to an urgent need to provide effective and accessible care for children and adolescents with anxiety disorders. moderate to severe and OCD. John Voith, chief executive officer and co-founder of InStride Health, said in a statement.
There are a number of digital health startups looking to help provide care for pediatric patients with behavioral health issues. For example, Brightline Health, which uses multidisciplinary care teams to provide virtual behavioral health care for children and adolescents, announced a $10 million funding round from Northwell Health in July. This brought the digital company’s total funding to $220 million.
More powerful, a spinout of Boston Children’s Hospital, developed a gamified digital tool designed to help children regulate their emotions. The startup raised $17 million in Series B funding in 2021, bringing its total raised to approximately $29.3 million.
Mass General Brigham Ventures has been actively investing in the behavioral health space.
Lists of entrepreneurial arms of the hospital system Reppla new senior-focused, home-based behavioral health company that recently emerged from a $32 million heist as one of its portfolio companies.
