Telehealth startup Ro has raised $200 million in a new round of funding, the company announced Monday.
Subscribe to the Crunchbase Daily
Ro, which was founded in 2017, operates digital health clinics for men’s and women’s health, along with smoking cessation. It also operates a cash-pay online pharmacy for generic medications in 22 states.
CNBC first reported the news of the new round.
The new York-based company’s Series C round, which was led by General Catalyst, brings the company’s total funding to $376 million. The funding round included participation from existing investors Torch, SignalFire, FirstMark Capital, TQ Ventures, Initialized Capital, BoxGroup, and 3L, and new investor The Chernin Group.
The company will use the new funding to make care more accessible and affordable, Ro said in a statement. It’s planning on offering remote patient monitoring with integrated devices for at-home testing, urgent care, and management of chronic diseases. In terms of hiring, Ro plans on hiring close to 70 engineers, CEO Zachariah Reitano said in an email.
As for growth, Ro has seen its year-over-year revenue grow 328 percent between 2018 and 2019 and its annual recurring revenue reach $250 million, according to the company. In the 2 1/2 years Ro has been operating, it has facilitated more than 5 million online health care visits. The company is now valued at $1.5 billion, CNBC reported.
“We think digital healthcare is here to stay,” Reitano said in an emailed statement. “While not all healthcare concerns are best suited for remote care, we think we are in the middle of a massive paradigm shift to a digital-first mentality where patients will first see if they can receive safe, high quality care, online and then seek in-person care if they are best suited for it.”
The company last raised money with its $85 million Series B in April 2019, per Crunchbase.
Illustration: Li-Anne Dias