Employer-focused digital mental health provider Lyra Health announced a whopping $235 million Series F round led by Dragoneer. Salesforce Ventures and Coatue also participated. This new infusion of cash brings the company's total raise to over $900 million. 

The funding coincided with the news that Lyra Health is acquiring employee-assistant program ICAS World for an undisclosed sum. ICAS was founded in 1987 and provides coaching and counseling services to employees. The service offers phone, face-to-face or web-based treatment.

WHY IT MATTERS 

The Series F funding round is expected to help Lyra Health expand internationally. 

This global expansion is also a key part of its recent acquisition. Lyra's team said that its acquisition of ICAS World will help it to reach 10 million members in 155 countries in 66 languages. 

“Mental health issues are much more pervasive than is commonly known, and Lyra is thoughtfully redefining access to care by providing broad-based solutions through employers," Marc Stad, founder and managing partner at Dragoneer, said in a statement.

"With this additional capital, Lyra will have the opportunity to further distinguish itself as the leader in mental health domestically and expand internationally to address a global need.”

THE LARGER TREND 

Lyra has quickly been raising capital for expansion. In June, the company announced the close of a $200 million financing round led by Coatue. However, that was not the company's only funding round last year. In January 2021, the company closed a $187 million Series E funding round. At that time Lyra also announced a partnership with ICAS World.

The company has also grown its coverage area. In September, it announced a new tool to help address suicidality, alcohol use disorder and other complex care needs. 

There are a number of employee-focused companies working on providing mental health services digitally. For example, employee mental health and wellness company Modern Health raised $74 million in Series D funding last February. 

Additionally, fellow employer-focused mental health company Ginger merged with meditation app Headspace in a deal that reportedly values the combined company at $3 billion.