- New investor Oak HC/FT leads round to address soaring demand from consumers and healthcare buyers for the nation’s first digestive health virtual center of excellence
- Investment in Oshi comes as digestive health rises to top four cost driver for employers, affects more than 25% of all Americans, and is the #1 reason for avoidable ER visits
NEW YORK, Oct. 16, 2024 (GLOBE NEWSWIRE) -- Oshi Health, a virtual gastrointestinal (GI) center of excellence, today announced that it has raised $60 million in Series C funding led by Oak HC/FT with participation from existing investors Bessemer Venture Partners, Flare Capital Partners, Frist Cressey Ventures, CVS Health Ventures, and Takeda Digital Ventures.
Oshi Health is now available in all 50 states to more than 40 million people as an in-network virtual GI clinic and has a growing roster of in-person GI practice partners across the country. The company’s whole-person care model is helping patients reach lasting symptom control faster and at a lower total cost of care. Oshi has partnered with innovative benefit leaders from employers such as Dayforce, Koch Inc., Mariner, the Nielsen Company, and TE Connectivity to drive awareness and impact within their populations, with dozens more employer programs launching by year-end.
This new capital will help extend the company’s market leadership and momentum, by adding partnerships with more provider groups, growing payer coverage, servicing new employer partners, and expanding into Medicare populations beginning in 2025.
“Digestive health is an urgent and under-resourced category, and Oshi stands out for its unique ability to provide proven clinical care that delivers faster relief for patients and significant savings for employers and health plans,” said Nancy Brown, General Partner at Oak HC/FT. “We are thrilled to support a team that is transforming value-based models within the virtual health space.”
“Digestive health issues are a crippling reality for millions of Americans and a financial burden for their employers and health plans,” said Sam Holliday, Oshi CEO. “We have proven the transformative ability of our model to fill the gaps in care and create value for everyone involved, and we are excited to have the support of healthcare’s leading investors as we scale to free millions of people from their suffering.”
Gastrointestinal care is a widespread need: 2 out of 3 Americans experience digestive symptoms every week and 25% of people live with a diagnosed GI condition, driving $136 billion in annual costs. In traditional GI care, patients lack support between visits and are left on their own to decipher complicated symptoms and coordinate their own care. For many, symptom control remains elusive, and unmanaged digestive symptoms are the #1 cause of emergency department treat-and-release visits. Escalating costs have made it a top four cost driver for employers and payers alike.
“Digestive health issues are a growing cost in our health plan and there is a shortage of high-quality, convenient digestive care in the marketplace,” said Matthew Hall, Benefits Strategy Manager at Koch, which relies on Oshi to provide virtual digestive care to its employees. “Oshi’s unique virtual model supports our employees and their families with the time and expertise needed to deliver truly transformative digestive care on their own terms. I'm excited about the partnership between Koch and Oshi and the potential to make a meaningful difference in the lives of our employees.”
Because of its clinical approach and unique ability to diagnose, prescribe, treat and coordinate care, Oshi Health can intercept and change the trajectory of unmanaged symptom escalations and drive the most significant outcomes and cost savings in the industry. Oshi surrounds patients with a dedicated multidisciplinary care team – including advanced practice providers, registered dietitians, behavioral health specialists, and care coordinators, overseen by board-certified gastroenterologists. This specialized care team works in collaboration with each other and in partnership with local gastroenterologists and primary care providers who are not structured or reimbursed to provide the time and high-touch care that Oshi delivers. Oshi patients can access unlimited virtual visits and messaging support with their care team until they understand their symptom triggers and gain the knowledge, tools, and optimal treatment plan to control their symptoms.
In data published at the Institute for Healthcare Improvement detailing an analysis conducted by a national health plan of a large commercially insured population using Oshi Health, 92% of patients reported symptom improvement with 98% patient satisfaction. This clinical trial also demonstrated that Oshi’s care resulted in total medical cost savings of $10,292 per patient in six months, driven by decreases in avoidable testing, procedures, ER visits, and medication utilization.
About Oshi Health
Oshi Health is a redesigned digestive healthcare experience that transforms access to care, the patient experience, clinical outcomes, and healthcare economics. In a high-touch virtual care delivery model, Oshi Health provides diagnosis and integrated care for digestive conditions and empowers people to achieve lasting control of their symptoms. Launched in 2020, Oshi Health works with innovative employers, health insurance partners, health systems, and community GI practices to scale access to multidisciplinary care, reduce healthcare costs, and improve the lives of millions of Americans with chronic gastrointestinal diseases. For more information, visit www.oshihealth.com.
About Oak HC/FT
Oak HC/FT is a venture and growth equity firm specializing in investments in fintech and healthcare. Using partnership as a foundation, Oak HC/FT guides companies and founders at every stage, from seed to growth, to create businesses that make a measurable and lasting impact. Founded in 2014, Oak HC/FT has invested in over 85 portfolio companies and has over $5.3 billion in assets under management. Oak HC/FT is headquartered in Stamford, CT, with an office in San Francisco, CA. Follow Oak HC/FT on LinkedIn and X and learn more at https://www.oakhcft.com/.
Media Contact
Stephanie Hicks
Cosmo Public Relations, Inc. for Oshi Health
805/295-9455
stephanie@cosmo-pr.com
