A Defining Moment for Digital Behavioral Health- FOUR MARKET TRENDS. Presentation by Megan Zweig, Rock Health, for mHealth Israel, March 24, 2021. 2020 was the biggest year yet for digital behavioral health companies, exceeding the previous record set in 2018 in deal count, funding, and average deal size. TREND #1: Investors are supporting early- and latestage innovation, though an increasing amount of capital is being put to work in later-stage deals to ensure mature products can scale to meet urgent demand. Though most behavioral health funding has gone to larger, later-stage rounds, most deals have been early-stage. While the average deal size for early-stage deals has held relatively constant, the average deal size for later-stage deals has doubled in size over the past five years. TREND #2: There’s room for both generalist and specialist models to meet high and diverse behavioral health demand. Amwell is the top-funded company supporting behavioral health and other conditions; Lyra is the top-funded startup exclusively focused on behavioral health. “Generalist" companies led the pack in 2020 with $1.6B in funding, while $804.3M was raised by startups exclusively focused on behavioral health (“specialists”). Five “generalist” companies have gone public; in 2021, TalkSpace will be the first company exclusively focused on behavioral health to go public, TREND #3: Consolidation for clinical and digital capabilities has sped up and will likely continue. There were nine digital behavioral health M&A deals in 2020, far exceeding the amount from any previous year. TREND #4: The relatively low flow of capital to SUDs and developmental disorders compared to mental health signals an opportunity for innovators and investors. Startups exclusively focused on mental health have seen more funding and deals than those focused on substance use disorders and developmental disorders.

1. A Defining Moment for
Digital Behavioral Health
FOUR MARKET TRENDS
2021
1

2. PRESENTATION © 2021 ROCK HEALTH
5 5
14
26
24
30 28
46
40
67
2011 2013 2014 2015 2016 2017
2012 2018 2020
2019
2020 was the biggest year yet for digital behavioral health companies, exceeding
the previous record set in 2018 in deal count, funding, and average deal size
Note: Only includes U.S. deals >$2M; data through December 31, 2020. For the purposes of this report, we define the digital behavioral health sector to include digitally-enabled startups in mental health, substance
use disorders, and/or developmental disorders. We also define the digital behavioral health market to include companies that exclusively serve behavioral health needs, and companies that serve behavioral health in
addition to other clinical needs. Source: Rock Health Funding Database
DIGITAL BEHAVIORAL HEALTH (BH) FUNDING AND DEALS
2011 - 2020
11% (↓)
12% (↓)
$914.8M
22.9
$
5%
3%
$35.2M
7.0
$ M
4% (↓)
5% (↑)
$77.2M
15.4
$ M
7% (↑)
9% (↑)
$185.6M
13.3
$ M
9% (↑)
13% (↑)
$549.8M
21.1
$ M
8% (↓)
9% (↓)
$403.6M
16.8
$ M
9% (↑)
10% (↑)
$475.9M
15.9
$ M
8% (↓)
8% (↓)
$489.3M
17.5
$ M
12% (↑)
17% (↑)
$1.4B
29.9
$ M M
15% (↑)
17% (↑)
$2.4B
36.0
$ M
LEGEND
# of Deals
Venture Funding
Average Deal Size
BH Deals as % of Digital Health Deals
BH Funding as % of of Digital Health Funding

3. TREND #1:
Investors are supporting early- and late-
stage innovation, though an increasing
amount of capital is being put to work in
later-stage deals to ensure mature
products can scale to meet urgent demand

4. PRESENTATION © 2021 ROCK HEALTH
Though most behavioral health funding has gone to larger, later-stage rounds,
most deals have been early-stage
DISTRIBUTION OF DIGITAL BEHAVIORAL HEALTH FUNDING AND DEALS
By Deal Stage, 2011 - 2020
2011 2013 2014 2015 2016 2017
2012 2018 2019 2020
1 1 (↑) 2 (↑) 3 (↑) 3 (–) 1 (↓)
0 (↓) 6 (↑) 1 (↓) 8 (↑)
0 4 (↑) 9 (↑) 9 (–) 13 (↑) 9 (↓)
3 (↑) 16 (↑) 14 (↓) 29 (↑)
4 9 (↑) 15 (↑) 12 (↓) 14 (↑) 18 (↑)
2 (↓) 24 (↑) 25 (↑) 30 (↑)
$1.9B
$291.9M
$255.1M
LEGEND
Venture funding in bars
# of deals below x-axis
Other (Debt, Bridge, N/A)
Early-stage (Seed & Series A)
Later-stage (Series B+)*
$730.9M
$173.9M
$10.0M
$930.2M
$290.8M
$156.7M
$268.4M
$120.9M
$100.0M
$307.9M
$108.5M
$59.5M
$299.1M
$91.6M
$13.0M
$394.4M
$149.7M
$5.7M
$118.0M
$57.6M
$10.0M
$68.7M
$8.5M
$32.1M
$3.1M
*Includes growth/PE rounds
Note: Only includes U.S. deals >$2M; data through December 31, 2020
Source: Rock Health Funding Database

5. PRESENTATION © 2021 ROCK HEALTH
2011 2013 2014 2015 2016 2017
2012 2018 2019 2020
$64.2M
$9.7M
$8.0M
$52.2M
$7.0M
$58.1M
$12.1M
$29.8M
$6.7M
$23.7M
$7.7M
$33.2M
$7.6M
$43.8M
$29.5M
$6.4M
$22.9M
$4.3M
While the average deal size for early-stage deals has held relatively constant, the
average deal size for later-stage deals has doubled in size over the past five years
DIGITAL BEHAVIORAL HEALTH AVERAGE DEAL SIZE
By Deal Stage, 2011 - 2020
LEGEND
Early-stage (Seed & Series A)
Later-stage (Series B+)*
*Includes growth/PE rounds.
Note 1: Only includes U.S. deals >$2M; data through December 31, 2020. For the purposes of this report, we define the digital behavioral health sector to include digitally-
enabled startups in mental health, substance use disorders, and/or developmental disorders. We also define the digital behavioral health market to include companies that
exclusively serve behavioral health needs, and companies that serve behavioral health in addition to other clinical needs
Note 2: The average deal size of deals categorized as “other” are not displayed due to variability in the nature of these deals (debt, bridge, n/a)
Source: Rock Health Funding Database
$10.0M

6. TREND #2:
There’s room for both generalist and
specialist models to meet high and diverse
behavioral health demand

7. PRESENTATION © 2021 ROCK HEALTH
Amwell is the top-funded company supporting behavioral health and other
conditions; Lyra is the top-funded startup exclusively focused on behavioral health
*Lyra’s Series E was accounted for; Lyra Health filed for paperwork to raise a $175.0M Series E in December 2020 and completed the raise in January 2021 at $186.7M
Note 1: Only includes U.S. deals >$2M; data through December 31, 2020; Chrono Therapeutics is no longer active
Note 2: “Generalist” companies address behavioral health and non-behavioral health indications, while “Specialist" companies only address behavioral health indications
Note 3: Ranking is based on total funds raised prior to IPO or exit (Amwell went public in September 2020; Livongo went public in July 2019 and merged with Teladoc in October 2020; Proteus Digital Health was acquired by Otsuka in 2020)
Source: Rock Health Funding Database
TOP-TEN FUNDED DIGITAL BEHAVIORAL HEALTH (BH) COMPANIES
By Solution Type, 2011 - 2020
Ranking Generalist Companies (BH+) Specialist Companies (BH only)
1
2
3
4
5
6
7
8
9
10
*

8. PRESENTATION © 2021 ROCK HEALTH
2011 2013 2014 2015 2016 2017
2012 2018 2019 2020
$804.3M
$1.6B
$314.7M
$600.1M
$431.3M
$946.4M
$108.5M
$295.1M
$267.5M
$282.4M
$94.0M
$91.6M
$24.0M
$53.2M
$7.8M
$27.4M
2 8 (↑) 14 (↑) 14 (–) 13 (↓) 13 (–)
3 (↑) 17 (↑) 15 (↓) 32 (↑)
3 6 (↑) 12 (↑) 10 (↓) 17 (↑) 15 (↓)
2 (↓) 29 (↑) 25 (↓) 35 (↑)
$148.7M
$340.6M
$264.3M
$211.6M
“Generalist" companies led the pack in 2020 with $1.6B in funding, while $804.3M
was raised by startups exclusively focused on behavioral health (“specialists”)
Note: Only includes U.S. deals >$2M; data through December 31, 2020
Source: Rock Health Funding Database
LEGEND
Specialists (only addresses BH indications)
Generalists (addresses BH + non-BH indications)
Venture funding in bars
# of deals below x-axis
DIGITAL BEHAVIORAL HEALTH (BH) FUNDING AND DEALS
By Solution Type, 2011 - 2020

9. PRESENTATION © 2021 ROCK HEALTH
Five “generalist” companies have gone public; in 2021, TalkSpace will be the first
company exclusively focused on behavioral health to go public
*Livongo merged with Teladoc in October 2020
**As of the writing of this piece, Talkspace is not yet a public company; they announced in January 2021 that they expect their SPAC merger to close at the end of Q1 2021
Note 1: “Generalist” companies address behavioral health and non-behavioral health indications, while “Specialist" companies only address behavioral health indications
Note 2: IPO year indicated in parentheses (SOC Telemed and Hims & Hers went public through a SPAC)
Note 3: Only includes public digital behavioral health companies through March 12, 2021
Source: Rock Health Digital Health Public Company Index
PUBLIC DIGITAL BEHAVIORAL HEALTH COMPANIES
By Solution Type
Generalist
(2015)*
(2019)*
(2020)
(2021)
(2020)
(TBD
2021)**
Specialist

10. TREND #3:
Consolidation for clinical and digital
capabilities has sped up and will
likely continue

11. PRESENTATION © 2021 ROCK HEALTH
There were nine digital behavioral health M&A deals in 2020, far exceeding the
amount from any previous year
Abbreviations: BH = behavioral health; *Otsuka had behavioral health products in their portfolio before acquiring Proteus (e.g., REXULTI®) but none that were digital health
Note 1: Only includes M&A deals involving US-based acquired companies; data through December 31, 2020
Note 2: Logos to the right represent the companies that acquired (the first logo) and were acquired (the second logo) in 2020 only
Source: Rock Health M&A Database
DIGITAL BEHAVIORAL HEALTH M&A ACTIVITY
By Acquirer-Target Type, 2013 - 2020
Acquirer Target 2013 2014 2015 2016 2017 2018 2019 2020
Specialist Specialist N/A N/A N/A N/A N/A N/A 1 1
Specialist Non-BH N/A N/A N/A 1 N/A N/A N/A N/A
Generalist Specialist N/A 1 N/A N/A N/A N/A 1 1
Generalist Generalist N/A N/A N/A N/A N/A 1 N/A 1
Generalist Non-BH 1 2 2 3 3 4 1 4
Non-BH Specialist 1 1 N/A N/A 1 N/A 1 2
Non-BH Generalist N/A N/A N/A N/A N/A N/A 1 N/A
+
+
+
+
+
+
+
+
+
*

12. TREND #4:
The relatively low flow of capital to SUDs
and developmental disorders compared to
mental health signals an opportunity for
innovators and investors

13. PRESENTATION © 2021 ROCK HEALTH
Startups exclusively focused on mental health have seen more funding and deals
than those focused on substance use disorders and developmental disorders
*“Specialist” behavioral health companies only address behavioral health indications
**Combination companies are specialist startups that address more than one behavioral health indication
Note: Only includes U.S. deals >$2M; data through December 31, 2020; Source: Rock Health Funding Database
“SPECIALIST”* BEHAVIORAL HEALTH FUNDING AND DEALS
By Company Focus, 2011 - 2020
$2.3M
$2.4M
$3.1M
2011 2013 2014 2015 2016 2017
2012 2018 2019 2020
1 4 (↑) 9 (↑) 9 (–) 10 (↑) 10 (–)
2 (↑) 21 (↑) 13 (↓) 24 (↑)
1 0 (–) 1 (↑) 0 (↓) 3 (↑) 2 (↓)
0 (↓) 5 (↑) 5 (–) 5 (–)
$681.5M
$45.8M
$28.1M
$49.0M
$214.3M
$40.8M
$8.0M
$51.6M
$316.3M
$42.5M
$68.0M
$4.5M
$105.0M
$10.0M
$2.1M
$31.6M
$157.8M
$55.0M
$51.5M
$83.5M
$25.0M
$222.5M
$32.0M
$13.0M
$81.0M
$13.0M
$24.0M
0 2 (↑) 0 (↓) 1 (↑) 0 (↓) 2 (↑)
0 (–) 2 (–) 5 (↑) 4 (↓)
1 0 (–) 2 (↑) 0 (↓) 4 (↑) 1 (↓)
0 (↓) 1 (–) 2 (↑) 2 (–)
LEGEND
Venture funding in bars
# of deals below x-axis
Substance Use Disorders Only
Mental Health Only
Combination**
Developmental Disorders Only

14. research@rockhealth.com
@rock_health
PRESENTATION © 2021 ROCK HEALTH