Gem Specialty Health – a nationwide digital specialty care clinic – recently announced it has successfully raised a Seed financing round led by HealthTrend Capital, with participation from existing investor Base10 Partners and new investor Mairs & Power Venture Capital. And GEM HEALTH has now raised over $5 million to date.
GEM HEALTH develops innovative specialty care models for removing the complexity and accessibility gaps that cause millions to forego essential care each year. And the company’s first offering GEM SLEEP is tackling the fragmented path to getting diagnosis, treatment, and support for sleep conditions, including obstructive sleep apnea (OSA). There are 30 million Americans living with OSA today, but five out of six individuals are not adequately treated. Instead, they get stuck navigating the diagnosis process or struggle to start treatment without support.
GEM SLEEP removes these barriers with a comprehensive digital solution that is simple to use, available on demand, and provides personalized support. And this approach gets patients to care in days rather than weeks or months, while lowering costs for patients and insurers. GEM’s patients also stick with their care and get better: 70% of GEM’s patients continue with their treatment beyond 30 days, compared to the national average of 40%-50%.
GEM HEALTH was founded by Brian Sauer last year. Before starting GEM, Sauer was the CEO at Sanvello, a leading mental health application for health plans and businesses looking to provide mental health and wellness services to members and employees. This business grew to over 3 million users and $10 million in annualized revenue and was sold in 2021.
With this funding round, GEM is expanding payment options by offering insurance coverage through more local and national health plans, making convenient care affordable to millions.
In connection with the funding round, HealthTrend Capital’s Managing Partner, Bill Brinkman, and Sam Meckey, CEO of UpHealth (NYSE: UPH) joined GEM HEALTH’s Board of Directors.
KEY QUOTES:
“We started in obstructive sleep apnea because we witnessed firsthand the tradeoff many patients were making with regards to their care – trying to decide if they should go to traditional providers and wait 3-4 months for care or try an online option that does not accept insurance and may not have clinical rigor. Millions of patients just give up and continue to live with OSA. Patients do not want to have to choose between convenient, clinically sound, and insurance-covered. They want all those things in a single experience. We are proud to say that GEM has built this model and will be rapidly scaling it with the support of our latest investment.”
– Brian Sauer, Founder and CEO, GEM HEALTH
“I am excited to partner with GEM in its mission to improve the sleep care experience. The company’s comprehensive approach streamlines the journey for patients navigating complex conditions, ultimately improving outcomes and reducing costs,” said Brinkman. “I look forward to working with Brian and the broader GEM team to support their growth and success.”
– Bill Brinkman, HealthTrend Capital’s Managing Partner
