Signos raises $20M to expand its reach in the growing weight loss market, riding the wave of Ozempic’s popularity
Wearable tech startup Signos announced on Tuesday it closed a $20 million funding to respond to the obesity and metabolic health crisis spreading across the United States, capitalizing on Ozempic’s momentum. The round was led by Cheyenne Ventures and GV, formerly Google Ventures, with participation from Dexcom Ventures and Samsung Next.
Signos said it will use the fresh capital infusion to continue its research on metabolic health and expand access to its weight loss platform and core team, which is currently around 45 staff.
The recent funding announcement coincides with a period where both individuals and businesses are increasingly investing in addressing the obesity crisis, which costs the U.S. more than $170 billion annually.
Weight loss has always been a significant industry, but it has seen substantial growth recently, mainly driven by the rising popularity of medications like Ozempic, Wegovy, and other novel drugs aimed at treating diabetes and obesity. In the first half of 2023, the sales of Ozempic and Wegovy surged by 58% and 363%, respectively. This growth comes on the heels of a 300% increase in quarterly prescriptions for GLP-1 treatments, which emulate a gut hormone to curb appetite, between early 2020 and the end of last year.
However, it’s not just pharmaceutical companies that are innovating in this space. Startups focused on wearable technology have also entered the arena. Distinct from Ozempic and Wegovy, Signo is taking a unique approach to supporting weight loss, and it doesn’t involve traditional pills. Signo’s solution leverages data from a continuous glucose monitor (CGM), a small sensor that provides real-time tracking of glucose levels.
Managing glucose levels and addressing weight issues is an ongoing challenge, particularly when you consider that over 96 million Americans are in the prediabetic stage, and the projection is that by 2050, a staggering 1 billion people worldwide could be dealing with diabetes. Signos is currently offering a solution that’s centered on metabolic health, aiming to reverse prediabetes and assist individuals on their journey towards weight loss. Notably, Signos initially catered to non-diabetic individuals but expanded its weight management platform in May 2023 to include support for those living with Type 2 diabetes.
The Signos app plays a crucial role in this process by allowing users to track their dietary intake and physical activity. This data empowers the Signos AI platform to understand how an individual’s metabolism responds to various foods and exercise routines. Subsequently, Signos provides personalized recommendations based on the unique metabolic profile of each person. As Sharam Fouladgar-Mercer, the CEO of Signos, pointed out, various factors like sleep, stress, exercise, and diet significantly influence glucose spikes. People make numerous food-related decisions daily, and Signos, with its glucose tracking and AI-driven suggestions, helps individuals make informed choices for improved health.
Jay Fulcher, Managing Partner at Cheyenne Ventures, emphasized the importance of measuring what you aim to manage. Signos adopts a data-driven approach to both weight management and overall health, which has the potential to deliver enduring positive outcomes for individuals everywhere. Signos is changing the way people make daily decisions about diet, exercise, sleep, and more by offering a deeper understanding of metabolic health and personalized weight care.
“You can’t manage what you don’t measure. Signos takes a data-driven approach to weight and overall health, which has the potential to create strong, long-lasting outcomes for people everywhere,” said Jay Fulcher, Managing Partner, Cheyenne Ventures. “Signos is changing how people approach everyday decisions—about diet, exercise, sleep, etc.—by providing a deeper understanding of metabolic health and personalized weight care.”
Founded in 2018, the Silicon Valley-based Signos combines continuous glucose monitoring with an AI-enhanced app to provide a groundbreaking approach that continuously collects data and offers recommendations aimed at promoting healthy and sustainable weight loss. With over 75% of American adults being overweight or obese, Signos addresses the need for a fresh perspective on understanding how the body responds to glucose, ultimately helping people kickstart healthier lives. The Signos team brings substantial expertise in utilizing data and AI to create engaging technology experiences that enhance health outcomes.