NeuroFlow — a digital health company designed to improve collaborative care — has raised $20 million in Series B financing. Magellan Health (Nasdaq: MGLN) — a managed care organization (MCO) and provider of behavioral health services — led the funding round.
The technology platform provider plans to use the new funding to scale its operations and expand its capabilities in data analytics, artificial intelligence and direct health record integrations. So far, the company has raised about $31 million to date.
Based in Philadelphia, NeuroFlow partners with health care providers to promote behavioral health integration across all settings. It provides patients with self-directed services through a consumer-facing app, then reports user-generated data back to health care providers, who use the data to inform care.
“Most healthcare providers are overburdened, so introducing the concept to account for a person’s mental health in addition to their primary specialty can be overwhelming and lead to inconsistent and inadequate treatment,” NeuroFlow CEO Chris Molaro said in a press release announcing the news. “Technology, when used strategically, can enhance and augment providers, making the concept of holistic and value-based care feasible at scale and easy to implement.”
NeuroFlow currently has more than 330,000 users in support of 200 organizations.
Meanwhile, Magellan is a Fortune 500 company headquartered in Phoenix, Arizona. The MCO specializes in handling complex areas of health care, such as behavioral health. Its customers include health plans, MCOs, employers, labor unions, government entities and other groups.
“Our goal is to support optimal experience and outcomes for members and deliver transformative technology for our clinical professionals,” Magellan Health CEO Ken Fasola said in the press release “This partnership is beneficial in achieving the best outcomes through measurement-based care and best in class technology.”
Along with the investment, Magellan’s “network of more than 118,000 credentialed providers and health care professionals are now poised to join NeuroFlow’s customers” in leveraging the platform, according to the press release.
The funding news comes about a week after Centene Corporation (NYSE: CNC) announced that it had entered into a definitive agreement to buy Magellan for $2.2 billion. That deal is expected to close in the second half of 2021 and create one of the nation’s largest behavioral health platforms.