Oura announced Tuesday the acquisition of Counsel Health, an AI-based primary care company, for $625 million. The deal comes weeks after Oura indefinitely postponed its $2.2 billion IPO, citing “uncertainty in the IPO market.”
Counsel Health is an AI-powered healthcare platform that combines a chat-based medical experience with access to licensed doctors. Its service was integrated into the Oura app in June.
Users can connect to Counsel’s medical AI to get personalized medical advice and chat with a doctor when needed, all within the Oura app. Now, the companies plan to expand their existing partnership to include preventive care, acute care, as well as specialty and chronic care.
While Oura has largely dominated the smart ring market for years, competitors like RingConn and Ultrahuman are emerging to dethrone it, putting pressure on the company to continue innovating. By acquiring Counsel Health, Oura seeks to grow its business and help users access medical care.
“Oura helps its members understand their physiology, and with Counsel, they can take action on their health for a range of needs, from quick questions and prescriptions to lab results, chronic care and referrals,” said Tom Hale, CEO of Oura, in a press release.
Counsel Health raised a $25 million Series A a year ago, led by Andreessen Horowitz (a16z) and GV. PitchBook estimates it has raised a total of $36 million.
Following the acquisition, Oura says Counsel will continue to serve its existing and new business partners, with the goal of expanding its AI-native care model to more people beyond Oura’s members.
Counsel CEO Muthu Alagappan will join Oura as director of clinical AI, alongside the company’s 70 employees, Bloomberg reports.
“At Counsel, we have built medical AI around trust, safety and accountability, keeping doctors informed about clinical decisions,” Alagappan said in the press release. “Oura data gives clinicians objective context, trending biometrics, and member engagement to deliver more informed care. From the beginning, our teams have bonded around a shared vision, culture, and mission, becoming even stronger as we negotiated our agreement over the past few months.”
The deal is expected to close before the end of 2027.
Oura also announced that its revenue increased 153% year over year to $533 million for the quarter ended September 30. For its 2026 fiscal year, Oura generated approximately $1.75 billion in revenue, representing 92% year-over-year growth.
The company reached a valuation of $11 billion following an advanced $900 million funding round in October 2025.
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