Kooth plc, a global leader in youth digital mental health and well-being, has raised £10 million.
BGF has contributed £3m to the round following the company’s recent success at securing a transformational contract with the California Department of Health Care Services, worth $188 million over the next four years, to provide digital mental health care to all six million 13-25 years olds living in the state.
The oversubscribed round is aimed at expansion efforts in the United States. The business is now in the process of building out its US team to support the Californian contract, amid plans to roll out to additional states in the near future.
Launched in 2001, Kooth is the longest established digital mental health provider in the UK.
Licensed to the NHS, local authorities, charities and businesses, the Kooth platform is available to more than 60% of children and young people in the country.
With a focus on the provision of online mental health for children and young people aged 10 to 25, Kooth provides anonymous and personalised mental health support and counts over 1.3 million logins per year.
“We’re pleased to gain the backing of BGF on our share register,” said Tim Barker, CEO of Kooth plc. “In addition to their funding, BGF’s network and support will give us the opportunity to continue building a world-leading platform for young people.
“With further traction now seen in the US platform, Kooth is well positioned to continue its international growth.”
Simon Blackaby, investor at BGF, commented: “Kooth is a great example of a high-quality business with a proven business model, a significant recurring revenue stream and now international growth potential.
“We have a strong conviction in the management team’s ability to execute the step-change in the scale of the business following the recent US contract win, which is a clear demonstration of Kooth’s credibility and expertise in its field.
“This is an exceptional achievement for a UK-based business which has purpose at its core, and we’re delighted to be playing a part in its continued expansion.”