Mental health benefits provider Lyra Health raises $200m

Employee mental wellbeing is high on the agenda at the moment.

The COVID-19 pandemic has been a major cause of employee stress and burnout, with employees working harder and longer hours than ever before.

In light of this and the taboo around discussing mental health in the workplace breaking, mental wellbeing apps are attractive to investors.

Only a month after staff wellbeing platform Unmind closed a $47 million Series B, California-based employer mental health benefits provider Lyra Health has raised $200 million.

The round was led by Coatue; with new investor Sands Capital, as well as existing investors, also participating.

As a result of the funding, Lyra Health plans to continue to develop its evidence-based mental health benefits for companies across the world. It is particularly focused on growing its international business.

The company’s offerings help employers provide personalized care to support the wide-ranging needs of their staff and their families. It can support them with preventative care, stress management, as well as help to treat severe medical conditions.

It connects users with a network of more than 2,000 providers, including therapists, coaches, and doctors, who deliver an immersive treatment model guided by the principles of cognitive behavioral therapy.

The model includes video counselling, guided self-care, coaching, training and prescribed digital therapeutics. It also provides employees with access to well-known wellbeing apps, like Calm and My Strength.

Currently, Lyra Health provides mental health benefits to 2.2 employees and their families in companies like eBay, Genentech, Uber and Morgan Stanley.

Talking about the financing, Lyra CEO and co-founder David Ebersman commented: “One in five people struggle with mental health challenges such as anxiety, depression, or substance use disorder.

“Delivering mental health care for diverse employee populations around the world is one of the most pressing and complex issues for employers today, and this new funding will help Lyra accelerate our plans to deliver comprehensive, global solutions.”