Wellness platform HealthifyMe has raised $75 million in Series C funding led by LeapFrog and Khosla Ventures, which is run by U.S.-based venture capital investor Vinod Khosla.
Unilever Ventures, Elm (Saudi Arabia PIF entity) and Healthquad also participated in the round along with existing investors Chiratae Ventures, Inventus Capital and Sistema Asia Capital. The latest round of investment takes the total quantum of funds raised to date to $100 million.
The investment comes at a time when healthtech startups are quickly becoming investors’ favourites as the pandemic has forced people to care more for health, manage chronic conditions and find ways to be in shape within the confines of home.
HealthifyMe plans to use the fresh capital to strengthen its artificial intelligence-driven offerings on the app, hire top talent and drive global expansion. Willing to take the inorganic route to drive growth, the startup is also open to acquiring companies in the digital health and fitness space.
As it stands, a substantial part of the funds will be used to consolidate the platform’s position in existing markets such as India and Southeast Asia while expanding into unchartered geographies. Currently, the company derives 25 percent of its revenue from outside India.
“With our Series C, we are excited to take our offerings global - North America being a key part of the plan,” said Tushar Vashisht, Co-founder and CEO, HealthifyMe.
Commenting on HealthifyMe’s foray into the U.S. market, Vinod Khosla said, “What they have achieved in India with their AI coaching solution at scale is truly pioneering for health and fitness globally. We are excited about the potential as they scale globally - specifically in North America, where 2 out 3 adults are overweight or obese.”
Founded in 2012 as a calorie counter, HealthifyMe today offers a stack of wellness products ranging from customised diet and workout plans to personal coaching on video, call, or message.
Now, the funds raised will also be used to grow two new initiatives: HealthifyPlus and HealtifyStudio. While HealthifyPlus seeks to help users manage chronic illnesses such as diabetes, cholesterol, hypertension, and thyroid, HealthifyStudio gives access to live group workout sessions. The two new offerings are already contributing to 25% of HealthifyMe’s top line, the company said.
As people sought ways to keep fit and manage chronic illnesses during the pandemic, HealthifyMe doubled its user base and revenue. Currently, the platform caters to more than 25 million users in more than 300 cities with over 1,500 coaches globally.
“HealthifyMe has created a powerful intersection between health and technology that can be accessed by 760 million smartphone users from India’s metropolitan cities to small rural towns,” said Dr. Biju Mohandas, Partner and Global Co-Leader, Health Investments, LeapFrog.
On the financial front, HealthifyMe expects annual revenue to expand from the current $25 million to $50 million by January 2022. The company wants to grow its user base to 100 million and record revenue of nearly $500 million by 2025.
(Edited by : Kanishka Sarkar)
First Published: IST