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The company intends to use the fresh capital to expand its therapeutic programs beyond vaping and cigarette addiction to include alcohol and substance abuse, and increase its availability in the U.S., which is currently witnessing an opioid 'epidemic'.
Fremont, CA: Quit Genius, a California-based personalized digital therapeutic for addictions, raised $11 million in Series A round of financing.
The round was led by Octopus Ventures, one of Europe's most active early-stage investors, with significant participation from Triple Point Ventures, Y Combinator, Startup Health, Serena Ventures and Venus Williams, among others.
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Quit Genius successfully replaces conventional low-intensity telephonic cessation support with a personalized digital program. It includes cognitive behavioral therapy, expert coaching, a connected breath sensor and easy access to proven medication. This new approach has translated to industry-leading quit rates, validated in six peer-reviewed papers and the largest randomized-controlled trial for a digital addiction program to be published soon.
Quit Genius was founded by three medical doctors. Initially, the company focused on tobacco and vaping use, where its evidence-based program has delivered a 53 percent quit rate for its users. This is almost treble the 15 percent quit rate which was achieved by traditional telephonic intervention, and just 3 percent when going cold-turkey.
The company intends to use the fresh capital to expand its therapeutic programs beyond vaping and cigarette addiction to include alcohol and substance abuse, and increase its availability in the U.S., which is currently witnessing an opioid 'epidemic'.
Presently Quit Genius works mainly with self-insured employers and health plans to help lower healthcare costs while simultaneously improving employee satisfaction. As it operates with a 'fees-at-risk' model with a performance guarantee, clients are usually 'paid back' in the first four months. The company already has over 700,000 enrolled participants across the globe. It also works with enterprise clients across the U.S., Canada and the U.K.
Yusuf Sherwani, CEO and Co-founder of Quit Genius, said, "Since our last funding round 18 months ago, our customer base has increased ten-fold, we have demonstrated industry-leading quit rates and expanded our product offering to vaping cessation. Employers are tired of the broken incentives that exist in a traditional "fee-for-service" model. By delivering value-based pricing, we are fast becoming the #1 digital therapeutic program for addictions in the employer space. Quit Genius is re-defining the gold standard therapy to tackle addictions and it is incredible to see the positive impact the team has made in such a short space of time."
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