BetterNight Raises $33M Growth Financing Round led by NewSpring.

Rhea-AI Summary

BetterNight, a leader in virtual sleep care, announced $33 million in growth funding led by NewSpring, with participation from HCAP Partners and Hamilton Lane (NASDAQ:HLNE). This funding will enhance the company's nationwide expansion and boost its value-based sleep solutions for OSA and insomnia. BetterNight aims to improve clinical outcomes and reduce healthcare costs by offering a full spectrum of digital sleep care services. CEO Dave French emphasized the partnership with NewSpring as pivotal for future growth in addressing untreated sleep disorders, which pose serious health risks.

Positive

• Secured $33 million in growth funding to support expansion.
• Partnerships with physicians, health systems, and insurers to enhance service reach.
• Focus on improving clinical outcomes for sleep disorders like OSA and insomnia.
• Digital platform enhances patient engagement and remote monitoring capabilities.

Negative

• None.

SAN DIEGO, Feb. 28, 2023 /PRNewswire/ -- BetterNight, a leading provider of comprehensive sleep care through its virtual care platform, announced today $33 million in growth funding led by NewSpring. The financing round includes participation from existing investors HCAP Partners and Hamilton Lane (NASDAQ:HLNE) via its Impact Fund II and other accounts managed by the firm.

"With awareness surrounding the health complications caused by sleep disorders rising, the sleep care industry is growing quickly and is ripe for disruption. BetterNight's comprehensive virtual care sleep solution is perfectly positioned to offer patients, providers, and payers a superior sleep care experience," said NewSpring Partner Mike Kaplan. "The data shows that BetterNight is best in class in enabling patients to adhere to sleep therapy."

BetterNight provides a full continuum of care for patients with sleep disorders, from consultation to diagnosis to treatment to long-term coaching. The company is focused on addressing obstructive sleep apnea (OSA) and insomnia to boost clinical outcomes, lower healthcare costs, and improve patient lives. BetterNight partners with physicians, health systems, clinics, and health plans across the United States. All services are provided digitally in the patient's home.

BetterNight will use the proceeds from this transaction to continue its nationwide expansion through partnerships with physician practices, health systems, and insurers and to accelerate the adoption and growth of its value-based sleep solution to employers and health plans. The company will continue to invest in technology to support patient engagement and remote patient monitoring.

"Untreated sleep apnea can dramatically impair a patient's quality of life and put them at risk for numerous medical conditions such as hypertension and heart disease. Our goal at BetterNight is to provide a superior sleep care platform that empowers patients to take control of their health by getting a better night's sleep," said BetterNight CEO Dave French. "The NewSpring team has a strong track record of building successful, scalable healthcare companies, and we believe they are the perfect partner to help power our company's next stage of growth."

About BetterNight

BetterNight, headquartered in San Diego, transforms sleep health with its virtual sleep care platform. Results include lower costs of care, superior adherence, improved patient satisfaction, and higher health outcomes. The company's software platforms empower sleep management by collecting actionable data from therapy devices to drive better clinical decisions. To learn more, visit betternight.com or follow BetterNight on LinkedIn: https://www.linkedin.com/company/betternight

About NewSpring

NewSpring partners with the innovators, makers, and operators of high-performing companies in dynamic industries to catalyze new growth and seize compelling opportunities. The Firm manages approximately $3 billion across five distinct strategies covering the spectrum from growth equity and control buyouts to mezzanine debt. Having invested in over 200 companies, NewSpring brings a wealth of knowledge, experience, and resources to take growing companies to the next level and beyond. Partnering with management teams to help develop their businesses into market leaders, NewSpring identifies opportunities and builds relationships using its network of industry leaders and influencers across a wide array of operational areas and industries. To learn more, visit newspringcapital.com.

About HCAP Partners

HCAP Partners is a diversely owned private equity firm specializing in providing mezzanine debt and private equity for underserved, lower-middle market companies throughout California and the Western United States. The firm seeks to invest $3 million to $25 million in established businesses generating between $10 million and $100 million in revenues in the healthcare, software, services, and manufacturing industries. HCAP Partners has invested in over 60 companies since its founding and, through ongoing, active engagement with portfolio companies, provides value-added resources to help optimize performance and increase enterprise value. The firm has been recognized as an ImpactAssets 50 fund nine years running and, through its Gainful Jobs Approach™, works to facilitate a positive impact on underserved businesses, their employees, and their communities through active portfolio engagement. For more information, please visit http://www.hcap.com/.

About Hamilton Lane:

Hamilton Lane (NASDAQ: HLNE) is one of the largest private markets investment firms globally, providing innovative solutions to institutional and private wealth investors around the world. Dedicated exclusively to private markets investing for more than 30 years, the firm currently employs nearly 600 professionals operating in offices throughout North America, Europe, Asia Pacific, and the Middle East. Hamilton Lane has approximately $832 billion in assets under management and supervision, composed of nearly $108 billion in discretionary assets and over $724 billion in non-discretionary assets, as of December 31, 2022. Hamilton Lane specializes in building flexible investment programs that provide clients access to the full spectrum of private markets strategies, sectors, and geographies. For more information, please visit www.hamiltonlane.com or follow Hamilton Lane on LinkedIn: https://www.linkedin.com/company/hamilton-lane/.

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SOURCE BetterNight

FAQ

What is the significance of BetterNight's $33 million funding on HLNE?

The funding indicates a positive investment trend in healthcare tech, potentially benefiting HLNE through its participation in BetterNight's growth.

How will BetterNight use the $33 million funding?

BetterNight will use the funds for nationwide expansion, enhancing partnerships with health systems, and advancing its digital sleep care platform.

What are the expected outcomes of BetterNight's funding?

Expected outcomes include improved clinical outcomes for patients with sleep disorders and lower healthcare costs.

Who led the funding round for BetterNight?

The funding round was led by NewSpring, with participation from HCAP Partners and Hamilton Lane (NASDAQ:HLNE).

What type of services does BetterNight offer?

BetterNight provides a full continuum of care for sleep disorders, including consultation, diagnosis, treatment, and long-term coaching, all delivered digitally.