Talkiatry, a leading provider of in-network psychiatric care, announced a $130 million equity and debt financing as part of a Series C round. This equity round was led by Andreessen Horowitz (a16z) with participation from Perceptive Advisors, and debt financing was provided by Banc of California.
This Series C funding round will drive Talkiatry’s expansion of its value-based care model for behavioral health, reducing total cost of care, improving health outcomes, and producing real savings for patients, health plans, and health system or provider group partners. And Talkiatry’s total raise to date is $245 million, with previous participation from investors including Left Lane Capital and blisce/.
Even though the mainstreaming of telehealth has helped in providing Americans with more behavioral care options, there is a shortage of outcomes and cost savings data, and a lack of physician-focused models, which previously limited health plans from establishing creative and scalable risk-based payment models.
Talkiatry created a proven value-based behavioral health care model that expands access to quality treatment while improving outcomes and generating savings. For example, a leading national health plan conducted a matched cohort analysis with both cohorts having similar demographics and conditions. And one cohort received psychiatric care from Talkiatry’s providers, while the matched cohort received care from other behavioral health providers in their network. Talkiatry’s cohort achieved a 68% lower hospitalization rate, 32% fewer emergency room visits, and generated approximately $700 in savings per member per month on a total cost of care basis.
Since launching in 2020, Talkiatry has delivered high-quality telepsychiatry services across more than one million patient visits, including underserved populations that previously had little to no access to treatment. And the company employs over 300 full-time, licensed psychiatrists who serve patients with conditions including anxiety, bipolar disorder, depression, OCD, PTSD, etc. across 43 states.
KEY QUOTES:
“Over the past few years we’ve built one of the country’s largest and highest-quality in-network psychiatric practices, while proving with real-world data that we deliver superior health outcomes and cost savings. We’re thrilled to be part of the a16z family as we continue to bring more health plans into value-based contracts and expand to reach more Americans in need.”
– Robert Krayn, CEO and Co-Founder, Talkiatry
“Talkiatry has mainstreamed outcomes-based psychiatric health care and risk-based payment models. The company has built a reputation for providing affordable, high-quality treatment for psychiatric patients while creating robust partnerships with a continually-expanding payor network. We look forward to working with Georgia, Robert, and the Talkiatry team to usher in a new era of innovation in this important area of mental health care.”
– Scott Kupor, Managing Partner, a16z
