Virtual behavioral health platform Kooth is making moves in the industry with its recent acquisition of Kismet Health’s pediatric telehealth platform. This strategic acquisition will enhance Kooth’s ability to cater to children aged 12 and under, while also expanding its presence in new U.S. state markets.
Kismet Health’s platform is known for its interactive engagement tools for teletherapy designed specifically for children aged 5-12. By integrating this platform into its services, Kooth aims to offer a more comprehensive range of mental health solutions for younger age groups. CEO Kate Newhouse expressed excitement about the acquisition, stating that it aligns with Kooth’s strategy to enhance its capabilities and broaden its service offerings.
The acquisition not only includes the technology platform but also brings on board four key employees from Kismet Health to join the Kooth team. This addition of talent will further strengthen Kooth’s expertise in pediatric telehealth services.
Kooth has been on a growth trajectory in recent years, with notable partnerships and deals under its belt. In 2024, Kooth, in collaboration with pediatric behavioral health provider Brightline, secured a significant $680 million deal with the California Department of Healthcare Services (DHCS). This partnership aimed to develop mental health tools for children aged 0-12 and young people aged 13-25. However, despite these promising ventures, Kooth has faced criticism for its low user rates, prompting the company to continuously refine its services and offerings.
The youth mental health market is a competitive space, with other digital players making strategic moves to expand their reach and offerings. Hazel Health, another pediatric behavioral health provider, recently acquired mental health startups Little Otter and BeMe Health, signaling a trend of consolidation and growth within the industry.
Overall, Kooth’s acquisition of Kismet Health’s pediatric telehealth platform represents a significant step forward in its mission to provide accessible and effective mental health services for children and young people. With a focus on innovation and expansion, Kooth is poised to make a lasting impact on the behavioral health landscape.
