Hinge Health IPO: Virtual Physical Therapy Company Files for $500M Raise

Hinge Health Files for Initial Public Offering

Hinge Health, a firm specializing in digital treatments for persistent musculoskeletal (MSK) conditions, has submitted its initial filing to become a publicly traded company.

While the specific number of shares and their pricing remain undisclosed, Renaissance Capital, a leading IPO analysis firm, projects that Hinge Health is targeting up to $500 million through this offering.

Financial Performance and Growth

In 2024, Hinge Health reported revenue of $390 million. This represents a substantial 33% increase compared to the previous year’s performance.

Furthermore, the company significantly reduced its net losses, narrowing them to $11.9 million, a marked improvement from the $108 million loss recorded in 2023, as detailed in its IPO prospectus.

Technology and Treatment Approach

Hinge Health’s core technology is designed to alleviate MSK pain. It utilizes sophisticated wearable sensors and computer vision technology.

A dedicated clinical care team, comprised of physical therapists, physicians, and certified health coaches, remotely monitors patient progress and provides guidance.

Funding and Valuation

The company achieved a valuation of $6.2 billion in October 2021 during its Series E funding round, securing $400 million from Tiger Global and Coatue Management.

To date, Hinge Health has accumulated a total of $828 million in venture capital funding, according to data from PitchBook.

Shareholder Structure

Insight Partners currently holds the largest stake among outside shareholders, possessing 19% of the company’s stock.

Atomico follows with a 15% shareholding. Other significant investors include 11.2 Capital, Coatue, Tiger Global, and Bessemer Venture Partners, each owning approximately 8% of Hinge’s shares.

Co-founders Daniel Perez and Gabriel Mecklenburg retain ownership of 18.9% and 8.2% of the company, respectively.

Competitive Landscape

Hinge Health’s primary competitor is Sword Health, which was valued at $3 billion in the previous year.

Virgílio Bento, CEO and founder of Sword Health, indicated to TechCrunch that his company may also pursue a public listing in 2025, contingent on continued growth and favorable economic conditions.

Additional companies operating in this space include Kaia Health Software, Omada Health, and Vori Health.