The healthcare startup sector has already seen a handful of investment megarounds this year, including OpenEvidence’s $250 million Series D and Midi Health’s $100 million Series D. The latest one came Thursday, when telepsychiatry provider Talkiatry announced the close of its own Series D financing round.
The $210 million round, led by Perceptive Advisors, brings the startup’s overall fundraising total to more than $400 million. Other investors that participated in the round include Andreessen Horowitz, blisce/, Sofina and Left Lane Capital.
Talkiatry, founded in 2019, aims to help address the provider shortage and care access crisis that continues to plague the mental health space by expanding access to virtual psychiatry and therapy nationally.
“Patients struggle to find the right clinician, get in quickly and stay engaged in care long enough to improve. At the same time, payers and health systems need partners who can deliver strong, measurable outcomes over time at scale,” explained Talkiatry CEO Robert Krayn.
The company employs more than 800 psychiatrists and 300 therapists and has delivered 3 million patient visits to date. It is in-network with more than 100 payers nationwide.
Patients who use Talkiatry’s platform begin with a brief intake survey and are then matched with a clinician based on their needs and availability, with virtual visits following. Krayn said that the startup built the process to reduce friction for patients, including options like “insurance discovery” so they don’t have to hunt for an insurance card to move forward.
“We’re also investing in new engagement models between visits because a lot happens during the time between appointments, and that context can improve care when it’s captured safely and appropriately,” he stated.
Patients often access the platform after being referred by their traditional provider — Krayn noted that Talkiatry has partnered with more than 50 health systems to take referrals.
The startup’s user data demonstrates that its model can boost patient outcomes, with 87% of its anxiety patients and 86% of its depression patients reporting symptom improvement after just two visits — and 67% and 62%, respectively, report no longer having clinically significant symptoms after two visits, Krayn shared.
He said the company makes its money via a mix of traditional reimbursement and value-based arrangements tied to performance and outcomes — and highlighted the fact that it doesn’t have any subscription-based payment models or pharmacy affiliations.
With a Series D round of this size, questions naturally emerge surrounding a potential market exit, but Krayn declared that Talkiatry has no imminent plans for an IPO. Instead, he and his team are focused on “doing the work needed to responsibly run a large scale enterprise.”
That enterprise exists alongside a seemingly endless slew of behavioral health and telehealth options — but Krayn maintains that Talkiatry is the only one with a focus on psychiatry and is the largest private employer of psychiatrists in the U.S.
In his eyes, Talkiatry also stands out because it is a full-stack provider group that builds its own technology and employs its own clinicians — which helps ensure clinical quality at scale.
“We also lead with outcomes, including therapeutic alliance ratings that are 22% higher than industry peers with 92% of patients building a strong rapport with their clinicians,” Krayn added.
In a crowded and evolving behavioral health landscape, Talkiatry’s claims will ultimately be tested over time.
Photo: Luis Alvarez, Getty Images
