Key Highlights
- Pelago raises $58 million in new funding, total reaching $151 million.
- The funding will accelerate product development, extend care continuum, and advance clinical research.
- Atomico leads the round, with Laura Connell joining the Pelago board.
Source: Business Wire
Notable Quotes
- “We empower employers and payers to bring our solution to their members struggling with tobacco, alcohol or opioids, from prevention to treatment and recovery,” – Yusuf Sherwani, M.D., CEO and Co-Founder at Pelago
- “Their visionary leadership in the substance use management space…is reflected in their exceptional growth,” – Laura Connell, Partner at Atomico
- “Live Nation Entertainment is proud to offer Pelago’s value-based, substance use management benefit,” – Emily Munroe, Director, Benefits at Live Nation Entertainment
SoHC's Take
Pelago’s Series C funding announcement underscores its pivotal role in transforming substance use management within the healthcare sector. This substantial financial infusion is earmarked for accelerating Pelago’s product roadmap, extending its care continuum, and propelling forward its clinical research endeavors. The commitment from existing and new investors highlights confidence in Pelago’s business model, evidenced by its remarkable customer growth and validated ROI.
Pelago’s innovative approach, focusing on a 100 percent fees-at-risk model, has demonstrated significant cost savings and improved clinical outcomes. This positions Pelago uniquely in the market, addressing the urgent need for effective substance use management solutions. With the healthcare industry facing ever-rising costs, Pelago’s model offers a timely solution that promises both economic and clinical benefits.
The involvement of Atomico, with Laura Connell joining the Pelago board, alongside the continued support from a consortium of investors, speaks volumes about the faith in Pelago’s mission and business strategy. The testimonial from Live Nation Entertainment further reinforces Pelago’s value proposition in the marketplace.
As the healthcare sector continues to grapple with the challenges of substance use disorders, Pelago’s forward-thinking solutions represent a beacon of hope. The company’s focus on evidence-based, value-driven care is a model for how healthcare providers can address complex chronic conditions, delivering tangible benefits to both individuals and organizations alike.
