Seattle-based telehealth startup 98point6 has raised $20 million.
With the funding, announced Thursday, 98point6 also said it will begin licensing its technology to third parties, starting with Tacoma-based MultiCare Health System and its ambulatory care program, Indigo Health. 98point6 President Jay Burrell said the company currently connects patients with its own health care professionals, but the agreement with MultiCare signals a move to working with third parties.
"We made the decision a couple of months ago, which is going to be the use of these funds, to take the technology we've built and license it to health systems nationally," Burrell said. "These funds are going to be directly related to enabling our tech stack to be run within third parties and health systems in particular."
The new funds and business line come just over a month after 98point6 confirmed in late July the company had laid off an unspecified number of employees as part of a realignment. The company didn't provide an update on how many people were let go, but Burrell said it was a small number. He added that the company has just over 300 employees now, and a company spokesperson said about 60% of 98point6's employees are based in Washington.
Investors in the funding include Activant Capital and funds from private equity firm L Catterton.
98point6, founded in 2015, connects patients to medical care through text. In addition to health systems, the company works with brokers, employers and health plans. Its clients include Boeing and BECU.
MultiCare, meanwhile, was founded in 1882. It has 11 hospitals, specialty care and urgent care through Indigo Health.
"Our strategic partnership with 98point6 will help us scale our digital capabilities to meet community demand and bring a new level of meaningful engagement to our customers," Ryan Fix, president of retail health at MultiCare, said in a release. "The health care landscape is changing quickly, with big players in the technology and health care sectors making significant investments in this direction."
