Teladoc Acquires UpLift for $30 Mn to Expand Virtual Mental Health Services

The acquisition aligns with Teladoc's ongoing efforts to expand its digital mental health footprint, despite challenges with BetterHelp.

Teladoc Health, a leader in virtual healthcare, has acquired UpLift, a virtual mental health therapy, psychiatry, and medication management services provider, in an all-cash deal valued at $30 million.

The acquisition, which closed on April 30, 2025, aligns with Teladoc’s ongoing strategy to expand its digital mental health footprint, despite challenges in its direct-to-consumer platform, BetterHelp.

UpLift covers 100 million lives through its partnerships with health plans and contracts with major insurers, including Medicare and Medicaid. The company has a network of over 1,500 mental health providers and generated $15 million in revenue last year.

Additionally, the acquisition includes an additional $15 million in contingent earn-out consideration, dependent on future performance.

Teladoc’s move to acquire UpLift is seen as a way to integrate insurance coverage into its BetterHelp platform, which has struggled with revenue declines. BetterHelp’s Q1 2025 revenue fell by 11%, reaching only $239.5 million, in contrast to the broader performance of Teladoc’s integrated care segment, which saw a 3% year-over-year increase.

“We believe that access to benefits coverage will lead to significantly higher conversion rates relative to BetterHelp's cash-pay business,” said Mala Murthy, Chief Financial Officer of Teladoc. “This will help us address affordability concerns and boost utilization, as many users cite cost as a barrier to mental health care.”

The acquisition is part of Teladoc’s larger strategy to improve mental health services post-pandemic, which remains in high demand. “Mental health has been one of the most widely adopted services in the virtual care setting post-pandemic,” said Chuck Divita, CEO of Teladoc. “We see continued secular trends supporting this growth, particularly in our integrated care model.”

Teladoc’s first-quarter results showed a net loss of $93 million, or $0.53 per share, worse than Wall Street expectations.

Despite these struggles, UpLift's acquisition marks a key step in its effort to stabilize and strengthen its position in the mental health market, which continues to face increased competition and demand.

UpLift will now be integrated into Teladoc's BetterHelp reporting segment, further bolstering its capabilities and providing more accessible mental health options through insurance coverage.

Kyle Talcott, founder and CEO of UpLift, will remain with the company to lead its network under Teladoc's ownership.