Hinge Health (NYSE: HNGE) announced on 4 August 2026 that it has signed a definitive agreement to acquire virtual-first digestive care company Cylinder Health for $105 million in cash, expanding the digital musculoskeletal specialist into one of healthcare's largest and most fragmented categories. The deal is expected to close in the third quarter of 2026 and is subject to customary closing conditions.
Why gastrointestinal, why now
Gastrointestinal conditions affect roughly one in four US adults and drive an estimated $135 billion in annual medical spend, yet 69% of US counties lack a gastroenterologist. Hinge plans to launch an integrated Gastrointestinal (GI) Care Program in 2027, sitting alongside its existing MSK, pelvic and migraine care programs and delivered inside the same member app.
What Cylinder brings
Cylinder Health has treated more than 150,000 people and reports a clinically validated ROI. Its commercial footprint spans nearly 100 clients covering two million lives, with partnerships with two of the three largest PBMs and three of the top five self-insured health plans. Hinge said the acquisition will add roughly $7 million to $8 million to 2026 revenue, with meaningfully more expected in 2027 as the platforms integrate.
A new template for digital-first specialty care
"We're entering GI care because of member and client demand," said Daniel Perez, co-founder and CEO of Hinge Health. "Cylinder gives us a running start in a category with significant unmet need." Cylinder chief medical officer Dr. Hau Liu added that GI conditions are highly comorbid with MSK and share gut-brain and central-sensitisation mechanisms, making them a natural fit for Hinge's AI-driven care model.
The transaction extends a wave of consolidation across digital health as public and private buyers combine virtual-care specialty categories into unified platforms — a pattern also visible in recent deals covered on our mergers & acquisitions and healthcare funding desks.
Reporting based on coverage from Business Wire, Healthcare Dive and Endpoints News.