Cue Health Announces Completion of $235 Million Private Financing to Accelerate Growth
Cue Health Inc. (“Cue Health” or “Cue”), a health technology company, today announced the closing of a $235 million private financing round. The investment includes participation from new investors Perceptive Advisors, MSD Capital, and Koch Strategic Platforms, a subsidiary of Koch Industries, existing investors Johnson & Johnson Innovation – JJDC, Inc. (JJDC), Decheng Capital, CAVU Ventures, ACME Capital, and others. The capital will be used to accelerate Cue’s growth as it pioneers a digital transformation of healthcare, beginning with diagnostics.
“The ongoing COVID-19 pandemic has exposed many of the shortfalls of the status quo healthcare model,” said Ayub Khattak, co-founder and CEO of Cue. “It’s clear that the world needs to make the move to Healthcare 2.0, a decentralized, responsive, digital-first and consumer-centric model that makes it easy to access important health information and act on it. We believe distributed diagnostics is the key missing piece to bridge the physical to virtual care continuum, and we’re excited to have Perceptive, MSD, Koch and others join us on our mission to lead this transformation.”
“We believe Cue has the vision, the science and technology, and the team to make an important impact on the future of healthcare, and we welcome the opportunity to partner with the company at this time,” said Gregg Lemkau, CEO of MSD Capital.
Cue expects to enable end-to-end care journeys from diagnostic tests to physician consultation via telemedicine through to intervention. At the center of this is the Cue Health Monitoring System, which, together with the Cue COVID-19 Test Kit, was the first-ever FDA authorized molecular-based diagnostic test for over-the-counter and home use. The Cue Health Monitoring System is designed to deliver a broad menu of tests through one system and is currently being used for COVID-19 testing in enterprises, schools, nursing homes, hospitals, physicians’ offices, dental clinics, sports leagues, live event venues, hotels, federal and state agencies, and other settings around the country. Cue plans to develop a suite of offerings to address respiratory health, sexual health, cardiac and metabolic health, women’s health, men’s health, and chronic disease management by connecting diagnostics with telemedicine.
Morgan Stanley & Co. LLC served as exclusive financial advisor for this transaction.