Smart ring startup Ōura raises $200 million as valuation jumps to $5.2 billion

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Oora, the maker of health-tracking smart rings popular with celebrities and business executives, has raised $200 million in new funding, doubling its value since 2022 to $5.2 billion.

The latest deal for Oora, which was founded in Finland in 2013, is one of the largest for a private European technology company outside the AI ​​sector, which has absorbed a disproportionate share of venture capital funding this year.

Fidelity Management led Ōura’s latest round alongside US-based glucose monitoring group Dexcom, bringing its total capital raised to more than $550 million, according to the company.

Celebrities Ōura rings lovers They include Prince Harry, Gwyneth Paltrow, Jennifer Aniston, and executives at IBM and Delta, as well as Silicon Valley founders like Twitter’s Jack Dorsey, Salesforce’s Marc Benioff, and Airbnb’s Joe Gebbia.

Its growing popularity has seen sales more than double this year to nearly $500 million, with total episodes sold exceeding 2.5 million. Ōura CEO Tom Hill said the company is profitable.

Owura said the funds will allow it to expand its products into new categories, invest in artificial intelligence and foster international expansion, as well as potential acquisitions.

“We know that Ōura has the potential to change lives at scale, and we are excited to continue leading the market in innovation while pursuing opportunities that extend beyond the ring,” Hill said.

Ōura began her work on Kickstarter, the crowdfunding site, in 2016.

Its rings, which cost $349 more for the latest Ōura 4 model plus a $5.99 monthly subscription, track the wearer’s sleep, heart rate, body temperature and activity. The smartphone app converts this data into a personalized “readiness score” and provides advice on how to improve it.

the Wearable technology Smartwatches like the Apple Watch have long dominated the fitness tracker market. However, smartwatch unit shipments are expected to decline by 3 percent this year, according to estimates from market research group IDC, while ring unit shipments are growing by 88 percent, making them the fastest-growing type of wearable besides smart devices. Glasses like Meta’s camera-holding Ray-Bans.

Big tech companies are starting to take notice of Ōura’s success, with Samsung launching its Galaxy Ring phone in July. IDC Expectations Smart ring shipments are expected to grow from 1.7 million this year to 3.1 million in 2028.

Healthtech has been a bright spot for European startups this year, attracting $7.9 billion in venture capital in the first three quarters of 2024, according to Dealroom.