RO, an online health start up is now valued at US$1.5 billion after a new round of funding. The online platform give users medical advice for a fee on an array of common health issues without having them visit a hospital.
Founded in 2017, RO started by selling hair lose products and erectile dysfunctional medications to men has now developed a several health apps to address multiple interests. The company claims it rakes in a revenue of US$250 million even without taking insurance according to CNBC.
CNBC reports that the new round of funding was led by General Catalyst and amount raised was US$200 million. This brings the total funding of the health startup to US$376 million which is one of the popular in health tech sector.
The advent of the coronavirus outbreak has led to a decrease in in-person hospital visits by individuals with non-urgent issues. RO is betting that with the rise in insurance premiums, patients will be willing to pay out of pocket to access a doctor.
Zachariah Reitano, CEO of the company said “We want to be patients’ first call, the more we are involved, the more we can impact the outcome.”