Update: Well, it’s not $2 billion, but the $100 million initial public offering Castlight Health has filed should give a sense of how digital health startups and their services for employer health plans are valued.
Castlight has focused on bringing more transparency to healthcare costs for employer health plans so employees can make more informed decisions about where they should go for medical procedures.
Here are some of the interesting takeaways from its S-1 filing with the U.S. Securities and Exchange Commission:
At ViVE 2024, Panelists Share Prior Authorization Progress and Frustration in Payer Insights Program
At the Payer Insights sessions on Day 1 of ViVE 2024, a panel on prior authorization offered compelling insights from speakers who shared the positive developments in this area after years of mounting frustration. Speakers also shared challenges as they work with providers to figure out how policy developments and technology will work in practice.
- It has increased revenues from $1.9 million in 2011 to $13 million in 2013, but it has operated at a loss each year, with net losses totaling $62.2 million last year.
- It has debts of $131.2 million as of the end of last year.
- Its backlog of customer agreements amounted to $108.7 million as of December 31, 2013.
- It sees a market opportunity of more than $5 billion, “based on the number of people who rely on health care funded by self-insured employers” and its estimate of the potential fee opportunity for its service.”
When Investment Rhymes with Canada
Canada has a proud history of achievement in the areas of science and technology, and the field of biomanufacturing and life sciences is no exception.
- It has a customer base of 106, having added 95 in the past two years. Its customer base is mostly “large, self-insured employers across a broad range of industries,” and includes 24 Fortune 500 companies.
- Walmart accounts for 16 percent of its revenue.
- It will trade on the New York Stock Exchange under the symbol, “CSLT.”
Castlight has netted $160 million in funding from investors since 2010 including Venrock, Oak Investment Partners, Maverick Capital and Cleveland Clinic.