Men's Wellness Startup Hims Reaches Unicorn Status With $100M Raise
Digital health startup Hims officially joins the unicorn club after securing $100 million in new funding at a $1 billion pre-money valuation. The company expands its direct-to-consumer offerings with its recently incorporated women's brand, Hers.
Men's wellness startup Hims raises an additional $100 million in venture capital funding, pushing its pre-money valuation to $1 billion and officially making it a unicorn. A growth-stage investor leads this ongoing round with participation from existing backers, though the specific lead fund remains unnamed. This new capital brings the total funding raised by the San Francisco-based company to $197 million in just over a year since its official launch.
The business sells sexual wellness products, skin care, and hair loss treatments directly to consumers, and it recently incorporates a women's wellness brand called Hers. Alongside erectile dysfunction medication for men, Hers offers birth control pills and Addyi, the only FDA-approved medication for women with hypoactive sexual desire disorder. This expansion allows the company to address a broader audience in the direct-to-consumer health market.
Reaching a $1 billion valuation represents a significant jump that doubles Hims' previous valuation, a price tag that causes some investors to balk during months of negotiations. However, Hims passes on several viable term sheets and already holds plenty of capital in the bank from previous investors like Forerunner Ventures, Founders Fund, Redpoint Ventures, and IVP. The startup ultimately secures the hefty valuation from a super big fund that is neither SoftBank nor a previous backer.