Found raised $100 million in a Series B funding round that values the company at $600 million, just two and a half months after emerging from stealth.
The investment was led by WestCap, a growth equity firm founded by former Blackstone and Airbnb executive Laurence Tosi. Existing backers, Define and Atomic, as well as angel investors, put money in the round.
The round was oversubscribed and pre-emptive, considering the startup had not planned on the raise process.
The biggest problem facing healthcare today is the total addressable market, and it is clear that this is the most exciting thing for investors. This company with a new approach and clear product market fit with a business that has scaled very well and has not had a lot of marketing channels fired up.
Found's annual run rate has grown by 6x since the beginning of the year. In late September, the company told me that since its launch in 2020, it had helped tens of thousands of members lose over 200,000 pounds, and that it was currently available in 31 states at an average cost of $100 per month.
Found has helped members lose more than 300,000 pounds and is available in 37 states, with plans to reach the entire country by early 2022. Found members have lost 10% of their weight by six months.
The new capital will be used to continue investment in the platform, infrastructure and user base.
All that is hiring, Jones said. The company recently made two executive hires, naming Rekha Kumar as its chief medical officer. Kumar was the medical director of the American Board of Obesity Medicine. Parks was the chief science officer.
The image was found.
In the spring of 2020, Found was housed at Atomic, a San Francisco-based venture studio. It raised $24 million in a Series A round, led by Atomic, with participation from Define. Over the course of the last year, it raised $8 million in previously undisclosed seed funding, mostly from Atomic. Found has raised $132 million since it was founded.
The startup aims to help people focus more on body positivity and what they can find when they lose weight, such as being able to finish a 5K or keep up with their grandkids. Combining advice from clinicians, a community of others going through the same process and "prescription interventions" when necessary is what it does. The company wants to address sleep, eating, movement, stress, and a person's biology.
Allen Mask is a partner at WestCap and was formerly of both Sonos and Airbnb. He believes there is a lack of knowledge about how to lose weight.
Most people struggle and lose hope because of that. It takes science and support to make it happen, according to Mask. The Found team has developed a proven integrated weight loss program that combines medical care with personal health coaching.
Found came out of the shadows with $32 million in funding and a new CEO.
