Calm acquires health technology company Ripple Health Group – TechCrunch
Meditation app Calm is acquiring Ripple Health Group, a San Francisco-based health technology company. Terms of the agreement were not disclosed. Calm says the acquisition will accelerate its mental health care ambitions. Following the acquisition, Ripple Health Group CEO David Ko will assume the role of co-CEO of Calm, alongside Michael Acton Smith. Calm co-founder Alex Tew will transition from co-CEO to executive chairman.
Founded in 2019, Ripple connects users with appropriate healthcare options and creates solutions that address pressing health issues. Ripple’s first two products, launched last month, focus on aging in society and easing the burden of caregiving for professional and non-professional caregivers.
The Ripple team will now join Calm and focus on building Calm Health, which will replace the company’s existing offering for employers, Calm for Business. Calm Health is set to launch soon, with the goal of supporting mental health across the spectrum of care. The Ripple team will be responsible for building a suite of Calm Health solutions that integrate with current healthcare technology and are both secure and easy to use. Calm says Ripple will also continue to create products aimed at reducing the burden of care.
“As a Calm advisor since 2019, I’ve witnessed firsthand the team’s ability to pioneer the future of mental health, redefining both the category and the distribution channel. “Calm’s new co-CEO David Ko said in a statement. “Calm is on a mission to make the world happier and healthier. I can’t think of a better fit for Ripple’s team and technology. We are incredibly honored to join the company. I am thrilled to work alongside Michael to bring Calm to healthcare.
Prior to joining Ripple, Ko was President, COO and Board Member of Rally Health, a digital health company that develops mobile solutions aimed at making it easier for consumers to access healthcare.
“David’s business acumen, operational excellence and proven record-breaking healthcare businesses will be invaluable to Calm as we enter new ventures and shape the future of the category,” said the co-CEO and co-founder of Calm, Michael Acton Smith, in a statement.
Calm’s acquisition comes weeks after it made its first foray into fitness and video content with the launch of its new Daily Move feature. The feature guides users through simple exercises to get them moving. Calm sees the new feature as an entry point into mindful content for people who find traditional meditation a difficult starting point. The company also recently introduced a new “Premium Family” subscription plan that includes up to six accounts. The new offering is available worldwide for $99.99 per year, while a premium individual plan costs $69.99 per year.
Calm, along with other meditation apps, has performed well during the ongoing pandemic and has seen an increase in users. The company has over 100 million downloads to date and says it averages 100,000 new users per day. In December 2020, Calm raised $75 million in Series C funding, bringing the company’s valuation to $2 billion. Former investor Lightspeed Venture Partners led the round.