Informed Data Systems Inc. (IDS), doing business as One Drop, scooped up $98.7 million in new financing and commitments to accelerate the expansion of its digital health platform beyond diabetes. The company raised $34.7 million in a series C round led by Bayer AG, of Leverkusen, Germany. Bayer also committed $64 million in development fees and commercial milestones related to a 2019 licensing agreement to leverage the One Drop solution across multiple therapeutic areas.
Launched in 2016, One Drop’s evidence-based digital disease management platform combines a blood glucose monitor with a patient-facing mobile app that coaches users on behaviors and lifestyle changes to keep their diabetes under control. The system’s efficacy has been demonstrated in a number of peer-reviewed studies that show people with diabetes who use One Drop see reductions in A1c blood glucose levels in as little as one month, and IDS claims that more than 90% of people who use its artificial intelligence-driven predictive insights report the information helps them manage their disease.
The platform – which boasts more than 2.5 million users worldwide – integrates with Apple’s Healthkit, Carekit, Health Records and Siri Shortcuts on iPhone, with Google Fit on Android and with Fitbit and Dexcom devices.
Opportunities in integrated care
While it was originally designed for diabetes management, Bayer sees bigger opportunities to use the One Drop platform to support new offerings in integrated care services.
The pharma giant entered a collaboration and licensing agreement to leverage the One Drop platform in multiple chronic disease conditions in September 2019. The deal gave Bayer an equity stake in the company through $20 million in series B financing and the $10 million licensing agreement.
This latest investment will accelerate the expansion of the One Step solution into health areas that Bayer focuses on, such as cardiology, oncology and women’s health.
“Building new digital business models is a key element of our business strategy with the ambition to actively shape the future of health care,” said Jeanne Kehren, Bayer’s head of digital and commercial innovation and a member of the company’s Pharmaceuticals Executive Committee. “We are convinced that a data-driven approach will empower patients to drive better outcomes for themselves and will bring back the person, not the disease, as the point of focus. The new collaboration with One Drop allows Bayer to accelerate its evolution towards a digital health business and paves the way for new integrated care patient service offerings.”
With the new funds, One Drop’s total financing to date comes to around $157 million.
One Drop expansion
One Drop made news in April when the New York-based company acquired the assets and intellectual property of Sano Intelligence Inc. San Francisco-based Sano had been developing a wearable continuous glucose sensor that enables users to track blood sugar levels and other blood chemistry via a smart phone app for nearly a decade. One Drop indicated at the time that Sano’s noninvasive, stick-on device would be integrated into its personalized digital care program for diabetes and chronic conditions in the form of a painless, silicon-based continuous health sensing platform.
The addition of the data from Sano’s continuous blood chemistry monitoring platform adds a huge number of data points and strengthens the machine learning models that One Drop employs for its predictive and adaptive capabilities.
Jeff Dachis, CEO and founder of IDS, underscored the benefits of One Drop’s proactive approach to managing chronic conditions.
“To deliver better health outcomes and cost savings at a population level, we must focus on individuals,” he said. “One Drop delivers a personalized health transformation program that dynamically tunes to your needs and behaviors each day, empowering each individual to achieve the best possible outcomes. In contrast, other platforms lacking our data wealth and predictive engine continue to focus on telemedicine and remote monitoring, reacting to problems that have already occurred and delivering a one-size-fits-all model that works for some, but fails for most.”
For its part, Bayer has shown a strong interest in supporting digital health. In August 2019, the company inked a two-year deal with Sensyne Health plc, of Oxford, U.K., to use Sensyne’s algorithms to analyze three million medical records. The goal is to identify disease subtypes that support patient stratification in phase III cardiovascular disease studies.