Some 15 million Americans struggle with alcohol-use disorder, and that number appears to be rising rapidly in response to the Covid-19 pandemic.
For many, traditional treatments for the disorder — also known as AUD and defined as an inability to control drinking and having an emotional dependence on alcohol — haven't helped. But the people behind a San Francisco startup think they can.
Ria Health is a telehealth provider that focuses on AUD. Unlike Alcoholics Anonymous or the typical rehabilitation center, its service is built around drug-based treatments, online coaching and an app that helps patients track their progress. Under its program, patients set their own goals, which may involve drinking less, rather than ceasing drinking altogether.
"For the past 40 years the one-size-fits-all approach to multi-addiction treatment has yielded poor results," Tom Nix, the startup's CEO, said
in a news release. "Ria Health's mission is to increase access to our clinically effective, evidenced-based treatment that meets the preferences of people who have AUD and removes the barriers of stigma, cost and inconvenience."
The company, legally known as DxRx Inc., recently announced a series of partnership with health plans, including Anthem Blue Cross Blue Shield, UnitedHealth Group Optum and Beacon Health Options. It now has some new funds to help build out those relationships and serve those plans' members. The startup announced earlier this week it's raised $18 million in Series A funding in a round led by SV Health Investors.
Here's more on Ria Health's new round and other Series A funding news from this past week:
Normalyze Inc., San Francisco, $22.2 million: Battery Ventures and Lightspeed Venture Partners led the round for this provider of security software for cloud-based data.
Opaque Systems Inc., San Francisco, $22 million: Walden Catalyst Ventures led the round for this provider of a service for analyzing and sharing data while protecting privacy. Storm Ventures, Thomvest Ventures, Intel Capital, Race Capital, The House Fund and FactoryHQ also invested.
DxRx Inc. (dba Ria Health), San Francisco, $18 million: SV Health Investors led the round for this online provider of treatment services for alcohol addiction. BPEA Private Equity and SOSV also invested.
August Health Co., San Francisco, $15 million: Matrix Partners led the round for this provider of patient management software for operators of senior living centers. General Catalyst also invested.
