Headspace Inc., which makes a popular meditation app, will merge with Ginger, a company recently valued at $1 billion by investors including Blackstone Group Inc. — creating one of the largest startups focused on mental health.

The combined entity will be called Headspace Health, the companies said in a statement Wednesday. Headspace Health will have a valuation of about $3 billion, according to a person familiar with the terms who asked not to be identified because the information is private.

The Ginger chief executive officer, Russell Glass, will lead the company after the merger, and the current CEO of Headspace, CeCe Morken, will become president, according to the statement.

Read more/Source: Bloomberg