Teladoc Health has announced the acquisition of mental health platform UpLift in a deal valued at $30 million, reinforcing the company's strategy to strengthen its leadership position in virtual mental healthcare.

The acquisition will enable Teladoc's BetterHelp segment to provide customers with greater access to insurance coverage for mental health services. Consumers using BetterHelp will now be able to utilize their insurance benefits through UpLift's infrastructure, while BetterHelp therapists may gain opportunities to join the covered benefits network.

"This transaction aligns with a key priority of advancing our position in virtual mental health, including the ability for our BetterHelp segment to support consumers seeking to use their covered benefits for virtual mental health services," Chuck DaVita, CEO of Teladoc Health, said in a statement. "We see significant business synergies with our current BetterHelp segment, which will enable us to serve a broader population seeking virtual mental health care."

UpLift specializes in virtual mental health therapy, psychiatry, and medication management services. The integration complements Teladoc Health's Integrated Care division, which already offers various digital tools including coaching, therapy, and psychiatry services for employers and health plans.

Following the acquisition, UpLift CEO Kyle Talcott will maintain his position, continuing to oversee the company's provider network management, quality and patient outcome oversight, and the administration of insurance coverage.

This latest move follows Teladoc's February acquisition of virtual preventative care company Catapult Health for $65 million, which included potential additional payments of $5 million in contingent earnout consideration. The company has been strategically expanding its digital health portfolio to strengthen its market position.

In 2023, UpLift itself made a strategic acquisition of women-focused digital psychiatry platform Minded, which expanded its women-led offerings and extended its services to five additional states. This prior acquisition adds further value to Teladoc's purchase, providing enhanced capabilities in women's mental health services.

Teladoc is scheduled to release its 2025 first-quarter earnings following the market close today, which may provide additional insights into how this acquisition fits into the company's broader financial and strategic plans.