Oura to Buy AI Care Firm Counsel Health for $625M
Oura is spending $625 million on an AI-native primary care company. The smart ring maker announced the purchase of Counsel Health on Tuesday, a few weeks after it put its IPO on hold.
An IPO shelved, a deal signed
Oura had planned a listing that could have raised up to $2.2 billion. It postponed that plan indefinitely, pointing to uncertainty in the IPO market.
Oura says revenue rose 153% year over year to $533 million for the quarter that ended on September 30. For fiscal 2026 the company cites revenue of approximately $1.75 billion, 92% year-over-year growth. Its valuation stood at $11 billion after a $900 million late-stage round in October 2025.
What Counsel Health does
Counsel is an AI-powered healthcare platform. Users get medical questions answered in a chat and can reach licensed physicians. The service has been inside the Oura app since June.
Members can ask the medical AI for personalized advice. When needed, they can chat with a physician, all without leaving the app. The two companies now plan to widen their partnership to cover chronic and specialty care as well as acute and preventative care.
Oura CEO Tom Hale framed the logic in a press release. "Oura helps members understand their physiology and, with Counsel, they can take action on their health across a range of needs," he said.
People, price tags and timing
Counsel raised a $25 million Series A a year ago, led by Andreessen Horowitz and GV. PitchBook estimates the company had raised $36 million in total.
Counsel CEO Muthu Alagappan will become Oura's chief clinical AI officer. Bloomberg reports that the company's 70 employees will join him. Counsel will keep serving existing and new enterprise partners. The stated goal is to take its AI-native care model to people beyond Oura's membership.
Alagappan said Counsel built its medical AI "around trust, safety and responsibility, keeping physicians in the loop for clinical decisions."
The deal is expected to close before the end of 2027.
The purchase also lands as rivals such as RingConn and Ultrahuman try to challenge Oura's lead in smart rings.
Source: TechCrunch