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Castlight Health makes $3.1M strategic investment in Lyra Health

The partnership with Castlight Health will give Lyra Health access to large employers.

has made a strategic investment in newly launched digital health company Lyra Health, which seeks to improve care coordination for people seeking treatment for depression, anxiety and substance abuse, according to a company statement.

The collaboration will be through Castlight’s program Castlight Elevate, which marks its foray into mental health. It is designed to give employees the ability to research behavioral health services, make educated treatment choices, and get care.

Elevate also identifies groups of people that may need behavioral health support and delivers personalized recommendations for treatment resources, including online options and employee assistance programs, according to the statement. It is also intended to help people find a therapist much like other services on its website. The point is to make the process easier and more transparent.

In a statement, David Ebersman, co-founder and CEO of Lyra Health said: “With this partnership, we will be able to leverage Castlight’s platform for distribution capabilities to accelerate the introduction of our technology-enabled service to some of the country’s largest employers.”

Among Castlight’s customers are Walmart, Texas Instruments,  Kellogg, Google and Sprint Corp.

In an interview with Lyra Health co-founder and CMO Dena Bravata, she said the partnership with Castlight gives it the opportunity to gain access to employers, and engage staff. She acknowledged that it’s still early days for Elevate and was just beginning to be deployed to customers.

Bravata also emphasized that the deal with Castlight was just one of the ways it was partnering with companies. It’s also in talks with health plans to set up pilots.

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She added that the funding from Castlight would be used to hire technology and sales support staff.