Prime Highlights
- Hinge Health will acquire Cylinder Health for $105 million to expand into gastrointestinal care, with an integrated programme launching in 2027.
- Cylinder Health serves 100 clients across two million lives and has already treated more than 150,000 people.
Key Facts
- Hinge Health is a virtual care company that began with physical therapy in 2014 and later expanded into migraine treatment.
- Digestive health issues affect one in four US adults and drive $135 billion in annual medical spending.
Background
Hinge Health has agreed to acquire Cylinder Health, a digital gastrointestinal care management startup, for $105 million in cash, marking its move beyond musculoskeletal and migraine care. The deal, expected to close in the third quarter, will help Hinge Health enter the largely underserved gastrointestinal care category, with an integrated GI programme planned for launch in 2027.
Daniel Perez, co-founder and chief executive of Hinge Health, said the company was following the same approach it used for musculoskeletal and migraine care, applying technology to address unmet clinical needs. He noted that digestive health issues affect one in four US adults and drive $135 billion in annual medical spending, while most counties lack access to a gastroenterologist.
Cylinder Health, founded in 2021, serves 100 clients covering two million lives and has treated more than 150,000 people. It holds partnerships with two of the three largest pharmacy benefit managers and three of the top five health plans by self-insured market share.
James Pursley, president of Hinge Health, said the acquisition would add nearly $7 to $8 million in revenue this year, with a larger contribution expected in 2027. He added that GI conditions often overlap with musculoskeletal, pelvic floor and migraine issues already treated by the company.
Hinge Health, which began virtual physical therapy services in 2014 and went public last year, introduced its migraine programme earlier this year, signing 450 clients covering over five million lives. The company reported 2,929 enterprise clients as of the end of June, a 24 percent rise from the previous year.
