HWell24 Plus Healthcare Pvt Ltd, which operates home healthcare aggregator under the brand HealWell24, has raised angel funding from three high-net-worth individuals, the co-founders of the company told VCCircle.
The funds were raised from a chief information officer of a major Indian pharmaceuticals multinational company, a financial and media executive, and a member of the oncology network in Mumbai, ONCOTRUST, said Jyoti Kumar Singha, co-founder and director, HealWell24. He, however, did not disclose the names of the investors and the specific amount raised from them.
The company, which was founded early in May this year by Singha and Harddik K Patel, will use the funds to set up technology, infrastructure, and the team.
It currently has presence in Mumbai, said Patel. The digital healthcare platform provides physiotherapy, nursing care, home ICU setup, home dental care, palliative care, and elderly care at home and hospitals. It also offers post-operative care besides collecting data across various therapeutic areas and working with pharmacies and insurance companies.
“HealWell24 provides solutions to patients at home-to-hospital-to-home as what we call a 3H Model," said Singha.
The co-founders also said that the company aims to raise $1.5-2 million in a pre-Series A round of funding for expansion.
The company aims to expand to Delhi and other tier II and III cities in the next financial year starting April 2018, said Patel.
Singha, an alumnus of IIM-Lucknow, has 11 years experience in the pharmaceuticals and healthcare technology space. He has previously worked with ACG, a products and services company that provides total integrated packaging solutions for the pharmaceutical industry. Patel, an alumnus of ITM Business School, has over 10 years of experience in investment banking, having worked with private lenders such as Kotak Mahindra Bank and Yes Bank.
The home healthcare industry is still at a nascent stage but some startups have already raised multiple rounds of funding.
India’s home healthcare industry was worth $2 billion in 2014 and has been growing at 20% annually, according to accounting firm PricewaterhouseCoopers (PwC). The booming sector has caught the attention of entrepreneurs and investors alike and is evolving as an organised, technology-led industry with standards and protocols.
One of the prominent ventures in the space is Portea Medical Pvt. Ltd, which is owned by Bengaluru-headquartered Healthvista India Pvt. Ltd. In September 2015, the firm—which is controlled by serial entrepreneurs Krishnan Ganesh and his wife Meena Ganesh—had raised $37.5 million (Rs 247 crore) in its Series B round of funding led by existing investor Accel Partners and International Finance Corporation, among others. Portea is currently in advanced talks to raise $25 million (Rs 160 crore) in a Series C round from three potential investors.
Another home healthcare firm Medwell Ventures Pvt. Ltd, founded by former Fortis Healthcare CEO Vishal Bali, raised $21 million (around Rs 136.7 crore) in a Series B funding round led by Mahindra Partners, the private equity arm of Mahindra Group, early this year.
In April this year, healthcare-focussed private equity firm Quadria Capital Advisors Pvt. Ltd committed to a milestone-based investment of up to $40 million in Burman family-backed home healthcare provider Health Care At Home India.
MyCareLine, Care24, Zoctr and Healers At Home are among the other funded startups in the home healthcare space.