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Maureen Klein is a host of exceptional ability. 

All Investment Summaries
Affect Therapeutics

By combining a digital therapeutic app with an integrated care team, Affect’s program revolutionizes recovery from stimulant abuse to improve patient outcomes while lowering health care costs.

Region: America

Sector: Health

www.affecttherapeutics.com

The Challenge

Stimulant use and addiction is a large and growing problem in the U.S. with disproportionate presence in low-income communities. Stimulant addiction affects 14 million Americans, with the methamphetamine crisis growing at 25% year over year. While the opioid epidemic has dominated headlines and policy conversations in recent years, stimulant overdose deaths have quietly, but dramatically, increased over the last decade (650% increase for meth-related deaths), and meth is now the leading cause of drug-related death west of the Mississippi.

 

Unlike with opioid use disorder, there is no agreed-upon standard of care such as MAT (medication assisted treatment) for stimulant use disorder. This lack of standard of care for stimulant addiction exacerbates high medical comorbidities and results in high costs to the U.S. health care system to care for stimulant users. More often than not, the standard of care for people addicted to stimulants is criminalization, which exacerbates and reinforces the adverse impact of stimulant use in low-income communities.

The Innovation

Affect Therapeutics provides a rewards-driven mobile platform combining a digital therapeutic app with an integrated care team to revolutionize standard of care for stimulant addiction. It includes: 


+  Proven behavioral incentives and tools to meet patients where they are.

+  Real-time treatment improvements that drive positive outcomes and reduce health care costs.

+  Personalized coaching and empathetic counseling to provide accountability and support at a dramatically lower cost and with better outcomes than traditional intensive outpatient programs.


Investment

Substance use disorders are a national health crisis with disproportionate impact on low-income Americans. Innovation in treatment design and delivery has focused on generalized substance addiction or opioid use disorder, but these approaches are not effective for treating individuals addicted to stimulants. Affect’s approach leveraging contingency management will inform a new standard of care for stimulant abuse to deliver lasting patient impact at lower cost to the healthcare system. Acumen’s investment will be used to support Affect’s launch and market expansion with Medicaid partners as a new addiction treatment approach.

Deal and Operational Metrics

$500,000 preferred equity

Anticipated Milestones

+  Affect intends to be in-market with Medicaid plans by Q1/Q2 2022. 

+  Affect expects to reach over 25,000 individuals in need of treatment by 2024, with low-income Americans covered by Medicaid plans comprising approximately 80% of those users.

+  Based on pilot results, Affect expects retention rates for enrolled patients to be at least 50% better than available alternatives, and expects abstinence rates 3 to 4x baseline.


Impact

Poverty Focus

Stimulant abuse disorder disproportionately affects low income Americans and communities of color. Over 50% of stimulant users in the US are in Acumen’s low-income target market.

Breadth

The company expects to have contracts with Medicaid and commercial health plans representing over 65M covered lives by the end of 2022, and to actively treat thousands of patients over the next few years.

Depth

Affect’s treatment program has demonstrated 2x retention rate of standard substance use disorder treatment programs, and has achieved superior program adherence and sobriety rates among program participants.

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