Why Invest

In light of increased spending on healthcare in Canada and amid the complexities of the overall system, we believe that rising healthcare costs will, directly or indirectly, impact employers. Companies with employees that defer or ignore health issues are expected to have lower productivity and increased employer-provided healthcare costs, which are estimated to rise by 130% by 2025 according to a 2017 report from Mercer.

We believe that virtual healthcare is a unique opportunity that can greatly facilitate links between healthcare market participants in order for them to receive, deliver and administer healthcare. As a B2B-focused company, we target Canadian employers and other organizations across the country for the Services. According to Statistics Canada, there are almost 17 million employees in businesses across the country that can be served by one or more of the Services, which we identify as our addressable market.

As the COVID-19 pandemic spread globally, the Canadian healthcare system was forced to adapt its traditional ways of providing healthcare. According to Canada Health Infoway (CHI), 4% of healthcare visits with primary care physicians and specialists were conducted virtually before the pandemic, which jumped to 60% at the onset of COVID-19 in Canada in April 2020. The October 2020 Gartner Market Guide for Virtual Care Solutions also highlights these trends, noting that by 2022, in North America, 30% of all ambulatory encounters will be virtual, up from about 2% at the start of 2020, indicating that the structural changes are here to stay.

We are a pioneer in the Canadian digital health market, as the nation’s only integrated platform with three live programs: primary care, mental health and EAP. We believe that our first-mover advantage in the B2B market, leading market position, and brand recognition set us apart in the rapidly growing market for digital health solutions. By being first-to-market, we have developed strong relationships with our Customers and channel partners and an outstanding reputation among our Users and Providers.

We are a pioneer in the Canadian digital health market, as the nation’s only integrated platform with three live programs: primary care, mental health and EAP. We believe that our first-mover advantage in the B2B market, leading market position, and brand recognition set us apart in the rapidly growing market for digital health solutions. By being first-to-market, we have developed strong relationships with our Customers and channel partners and an outstanding reputation among our Users and Providers.

Our cloud-based technology stack combines the judgment of human care providers with the efficiency of AI-driven processes. We believe our unique human-in-the-loop approach is a key differentiator for our Users and Providers. Our proprietary AI-powered intake can be completed in less than five minutes, approximately four to five times faster than a manual process.

Our cloud-based technology infrastructure is highly scalable and capable of accommodating significant increases in service demand and volume while maintaining a high level of quality, reliability and quick response time. Similarly, our Platform is designed to accommodate incremental service offerings, allowing for efficient deployment and implementation at scale across new and existing geographies. Furthermore, our intake system is continuously improving as new information is collected in our proprietary, secure data pool.

All of our technology and medical processes are proprietary and built by our in-house team to enable high quality of care and security for our Customers.

We believe our differentiated solutions deliver value for our Customers, Users and Providers. From a Customer’s perspective, we simplify the administration of healthcare and wellness benefits, which results in better overall outcomes for their Members and their families and provides access to multiple services on one Platform. We also deliver tangible value to our Customers, including saving Users of our primary care program 4.2 hours on average per consultation, delivering over 6x ROI for organizations through our Mental Health offering, and an overall satisfaction score of 92%.

From a User’s perspective, our Platform provides a single-source integrated solution with access to multiple services, including primary care, mental health and EAP through one interface. We provide on-demand access to high-quality healthcare without the burden of travel or wait times. Our Platform allows Members and their Dependents to access care via multiple channels including smartphone, computer or tablet whenever and wherever needed in Canada.

From a Provider’s perspective, our Platform provides an opportunity to connect with Users, generating incremental income while significantly reducing the administrative burden associated with managing User records, recording clinical notes and medical billing. Our Providers also have flexible scheduling arrangements, allowing them to administer care from the convenience of their home or office.

Since our founding in 2016, our business has demonstrated industry-leading revenue growth as evidenced by our 254.9% growth rate in 2020 compared to 2019. Furthermore, our PMPM model provides significant visibility supported by sustainable revenue streams. In 2020, 99% of revenue generated on our Platform was recurring or reoccurring in nature. We have scaled our business without sacrificing profitability as demonstrated by our gross margin of 40.2% in 2020 compared to 24.0% in 2018. We have built deep relationships with our Customers and are able to deliver increasing value over time as evidenced by our NRR (defined below) of over 100%. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations”.

We believe our B2B-focused distribution strategy, which includes direct and partner sales, cannot easily be replicated. Our multi-pronged go-to-market strategy has allowed us to efficiently and effectively reach a large and high-quality customer base. Our direct sales force focuses on selling to large organizations who in turn offer our virtual health and wellness solutions to their employees and members. Our channel partners include a variety of third parties including the leading insurers, brokers and consultants that sell to a range of customers through their expansive network. We have entered into distribution agreements with four of Canada’s top five group benefits insurance carriers including Sun Life, Canada Life, Beneva and Desjardins. For small businesses, we also offer a customer enrollment Platform that provides them the ability to self-register for our solutions. We believe the breadth of our distribution strategy allows us to reach a broad range of organizations that typically sign multi-year agreements for a large number of employees. This approach allows for rapid scaling in comparison to selling our solutions to one individual at a time, allowing us to grow revenues efficiently

Our management team has a history of innovation and a proven track record of managing high-growth businesses. Our executive leadership team is composed of experienced business professionals with diverse expertise across a breadth of fields including healthcare, benefits administration, technology, professional services, consumer and management consulting and enterprise-sales-driven businesses. We have received funding from leading institutional investors further demonstrating the credibility of our management team.