Headspace and Ginger completed a merger that they first announced in August, digital mental health companies announced Thursday.
Here are five things to know about the newly merged entity.
1. Headspace and Ginger, two private app-based digital mental health companies that work with employers and health plans, have merged into a single company called Headspace Health. The company did not disclose financial details of the merger, but the combined entity is valued at $ 3 billion, Headspace and Ginger said in August.
2. Both startups debuted in 2010. Headspace, which raised $ 215.9 million, is a provider of meditation and mindfulness apps based in Santa Monica, California. Ginger, based in San Francisco, raised $ 220.7 million, offers access to on-demand mental health care services, including behavioral health counseling through text messages and video visits to therapists and psychiatrists.
3. Headspace Health will combine Headspace for Work and Ginger into a digital mental health service spanning from prevention to treatment that it will market to employers. Currently, Headspace Health covers 100 million lives through contracts with more than 2,700 employers and health plans and through direct-to-consumer underwriters.
Room Employers and insurers are increasingly purchasing teletherapy apps that providers say can reduce stress and improve employee retention. These offerings are part of the growth of the mobile health and telehealth applications subsectors within digital health, which raised $ 6.6 billion and $ 2.3 billion, respectively, in the first three quarters of 2021, according to data from Mercom Capital Group. .
5. Russell Glass, a former CEO of Ginger, is the CEO of Headspace Health. Former Headspace CEO CeCe Morken is president of the combined company and CEO of the Headspace division. So the health of the headspace called Its board of directors, which includes former Headspace and Ginger board members and two new members.