Image Credits: Everlywell
At-home health testing kit startup Everlywell has raised $75 million, following the close of the $175 million Series D it announced in December. The new funding comes from HealthQuest Capital, and sees the fund’s founder and managing partner Dr. Garheng Kong join the company’s board of directors. Everlywell will use proceeds of this financing to provide liquidity to existing investors, so the startup’s $1.3 billion valuation from December still holds.
HealthQuest Capital’s investment portfolio has a heavy focus on commercialization of diagnostics businesses, and the company’s parent obviously has a board network of partners including hospitals and healthcare payers, both of which are going to be very strategically useful to Everlywell as it looks to scale its business on the enterprise side.
Austin-based Everlywell develops at-home testing kits for a range of health concerns, including thyroid issues, allergies and food sensitivity. The company also added a COVID-19 home collection test kit in 2020, and that has resulted in a lot of growth — both from the COVID test itself, and for its other range of products, according to Everlywell CEO and founder Julia Cheek, who I spoke to in December for the Series D raise.
Having HealthQuest’s venture arm on board as a partner could help its direct-to-consumer business and further develop a complementary enterprise operation. The company already works with employers and health plans, but this should definitely help accelerate that aspect of its business as it looks toward more growth in 2021 and beyond.