Ada Health extends Series B to $120 million to accelerate rapid growth

BERLIN, LONDON and NEW YORK, Feb. 10, 2022 /PRNewswire/ -- Ada Health GmbH ('Ada'), the Berlin-based digital health company, today announces that it has closed its Series B round at $120 million by raising a $30 million extension round. The new funding will enable Ada to accelerate its growth and strengthen its presence in the US, following strong interest and traction in that market.

Today's extension was raised from international investors Farallon Capital, Red River West and Bertelsmann Investments. This follows an initial Series B raise of $90 million last May which was led by Leaps by Bayer, the impact investment arm of Bayer AG, with further investments from Vitruvian Partners, Inteligo Bank, F4 and Mutschler Ventures. Ada also announces that Schroders Capital has become a major investor through a secondary transaction from public and private vehicles.

Ada's best-in-class health assessment and care navigation platform, which combines medical knowledge with powerful AI, helps users understand their symptoms and navigate safely to the right care at the right time. Ada's consumer app has become the world's most popular and highest-rated symptom assessment app, completing over 26 million assessments since its global launch and earning 300,000 five-star ratings worldwide. Ada also provides enterprise solutions to a wide range of partners across health systems, insurers, and life sciences. By integrating its symptom assessment and care navigation tools into a range of digital care journeys, Ada can improve outcomes for patients, consumers and healthcare providers.

Today's funding will be used to accelerate the rapid growth of Ada's enterprise offering and strengthen its presence in the United States, following a period of strong growth in North America where Ada has forged collaborations with leading health systems and care providers, while continuing existing client partnerships internationally with the likes of Bayer, Novartis, and Sutter Health.

Ada also plans to build on its sophisticated AI capabilities by developing a personalized operating system for health, connecting multiple external data sources to provide users with actionable insights and a holistic, 360-degree view of their personal health journey.

Daniel Nathrath, CEO and co-founder of Ada Health, said:

"As a company, our goal is to improve healthcare outcomes for more than 1 billion people around the world. Covid-19 has highlighted the need for greater, faster change within healthcare and we are seeing a growing demand from health systems, insurers and life sciences organizations for innovative ways to help transform health journeys and drive better outcomes for patients, clinicians and providers.

Today's investment will enable us to double down on our growth in the US and in other key geographies, while continuing to develop our suite of AI-powered solutions, strike new partnerships, and create a truly personalized operating system for health."

Participants in the Series B extension include US-based investor Farallon Capital, cross-border investor Red River West, and Bertelsmann Investments, German media company Bertelsmann's international venture capital arm.

Torsten Schero, Chief Financial Officer at Ada Health, said:

"We are thrilled to have these high-profile investors joining Ada as we accelerate our rapid international growth. These later stage growth investors will play a key role as we take the next step in Ada's ambitious growth journey, and we couldn't be happier to have them on board to continue Ada's success story together."

Antoine Boulin, Founding Partner at Red River West based in California, added:

"We're impressed with the commercial traction that Ada has achieved in the US, especially as they've done it with a minimal presence here so far.

As part of the support we offer, they'll benefit from our exclusive network of entrepreneurs who have created more than $100B in cumulated value. There is no doubt that with this type of support and the best product in its category Ada will continue its spectacular growth in the US and globally."

Jörn Caumanns, CFO Bertelsmann Investments (BI), says:

"We are very excited to partner with Ada as one of the leading European players in digital health. We are impressed with the quality of its best-in-class health assessment and care navigation platform and its future growth options. Digital health is a sector that we intend to expand and Ada is one of BI's first investments in this space."

On the back of Ada Health's successful series B, Schroders Capital has acquired secondary shares for over $30 million through public and private vehicles.

Vahit Alili, Investment Director, Private Equity at Schroders Capital, said:

"We are proud to invest in Ada Health, a company with outstanding global growth potential and real impact on how healthcare is delivered. We are at the watershed of a major shift in healthcare, as innovative digital solutions support better health outcomes and clinical excellence with intelligent technology. Ada Health's technology is a rare proposition which delivers against all components of the iron triangle of health care: improving access to reliable healthcare, improving the quality of care through earlier diagnosis and better outcomes while simultaneously helping to save cost by removing inefficiencies in patient care navigation."

About Ada Health

Ada is a global health company founded by doctors, scientists and industry pioneers to create new possibilities for personal health, and transform knowledge into better outcomes. Its core system connects medical knowledge with intelligent technology to help all people actively manage their health and medical professionals to deliver effective care, and the company works with leading health providers, organizations and governments to carry out this vision. The Ada platform has 11 million users worldwide, and has completed 26 million assessments since its global launch in 2016.

To learn more, please visit www.ada.com

About Bertelsmann Investments

Bertelsmann Investments (BI) is the global venture capital arm of Bertelsmann, a media, services and education company that operates in about 50 countries around the world. Bertelsmann includes the entertainment group RTL Group, the trade book publisher Penguin Random House, the music company BMG, the service provider Arvato, the Bertelsmann Printing Group, the Bertelsmann Education Group and Bertelsmann Investments. The start-up and fund network of Bertelsmann Investments currently consists of almost 300 active investments.

To learn more, please visit www.bertelsmann.com

About Red River West

Red River West (RRW) is a growth stage VC fund that supports the best European Tech companies to win in the US by providing game changing hands-on support.

The fund was started by tech entrepreneurs and investors equally distributed between Europe and the US. They all have a great track-record of scaling local European start-ups into global leaders.

RRW benefits from the active sponsorship of Groupe Artémis which provides 25 years of experience as a professional investor building global leaders (Kering, Gucci, Christies etc.).

To learn more, please visit www.redriverwest.com

About Schroders Capital

Schroders Capital is a leading global private markets investor and part of Schroders Group. With over USD 70 billion* assets under management, the firm manages a range of investment strategies, including private equity, private debt, real estate, infrastructure, securitised products and asset-based finance, insurance-linked securities and impact investing on behalf of institutions, consultants, family offices and individual investors. Schroders Capital operates out of 19 offices globally and employs over 500 professionals, combining global market coverage with local, on-the-ground presence. The private equity team of Schroders Capital provides its clients access to a broad range of private equity opportunities through direct, co-investment, secondaries and primary investments across buyout, growth and venture capital with a focus on fundamental value generation through transformational change. Sustainability is an integrated part of the firm's investment process and Schroders Capital is rated A+ by the UNPRI.

To learn more, please visit https://www.schroderscapital.com

* Assets under management as at 30 September 2021 (including non-fee earning dry powder and in-house cross holdings)

SOURCE Ada Health