Big Health, the digital therapeutics company, has acquired Limbix, the renowned developer of prescription digital therapeutics (PDT) designed to tackle depression among teenagers and young adults. 

Why it’s notable:

• Limbix is widely recognized as the creator of SparkRx, a PDT solution that utilises cognitive behavioural therapy principles to address depression specifically in individuals aged 13 to 22. The pandemic accelerated the youth mental health crisis more than doubling depression and anxiety rates and latest figures show up to 80% of young people don’t receive adequate treatment. Big Health’s acquisition of Limbix highlights its commitment to adolescent mental health and the mental health crisis. 

• So far, over 300,000 patients have already enrolled in treatment through Big Health’s therapeutics. SparkRx will join Big Health’s portfolio which already includes Daylight therapeutic for anxiety and Sleepio for insomnia. The addition of SparkRx will allow the company to meet the increasing demand from their customers seeking effective treatments for broader age ranges. SparkRx will be available to Big Health’s employer, health system, public sector and health plan customers and through the company’s strategic distribution agreements with pharmacy benefit managers (PBMs), significantly increasing nationwide access. 

Industry implications:

• In conjunction to acquiring SparkRx, Big Health acquired Limbix’s R&D pipeline which has not been previously published. Big Health’s CEO Arun Gupta mentioned the deal includes other-adolescent-focused digital therapeutics under development including a product focused on adolescent anxiety, meaning Big Health could have an anxiety offering for two age groups. Big Health is building out its mental health offerings through this acquisition and it’ll be interesting to see what other products are in their pipeline. 

• While the digital therapeutics market suffered a setback earlier this year, when DTx trailblazer Pear Therapeutics closed its doors, the market continues to grow and is expected to reach $21.46B by 2030. Earlier this year the Ministry of Food and Drug Safety in South Korea recently announced the approval of its second domestic DTx device. Reimbursement pathways are also advancing, with France announcing its new fast track pathway (Prise en Charge Anticipée “PEC-AN”) earlier this year which enables a rapid access for patients to digital health solutions at a temporary reimbursement rate for one year before a more permanent listing.