Medwell raises $21 million from Mahindra Partners, others

Industry:    2017-04-06

Home healthcare services provider Medwell Ventures Pvt. Ltd Wednesday said it has raised $21 million (about Rs136 crore) in a Series B funding. The money was raised from Mahindra Partners, existing investors Eight Roads Ventures and FPrime Capital Partners which are part of Fidelity International Ltd, as well as angel investors and founders.

Of the total, $14-15 million came from Mahindra Partners, the private equity, and venture capital division of Mahindra Group, a person aware of the matter said. This is the first investment by Mahindra Partners in the healthcare sector.

“We will use the funds to grow in existing cities as well as expand to newer regions. In FY18, we plan to expand to NCR (National Capital Region) and Chennai and later in eastern India,” said Vishal Bali, co-founder, and chairman of Medwell Ventures.

Medwell provides specialized home health care services, including out-of-hospital care plans for patients with chronic diseases, at 13 branches in four cities—Mumbai, Bengaluru, Hyderabad, and Pune. It acquired Bengaluru-based Nightingales in April 2014 and operates all its branches under the Nightingales name.

Medwell Ventures was founded in April 2014 by Bali, a former group chief executive officer of Fortis Healthcare Ltd, and three others. It raised $10 million from Fidelity in May 2015 in Series A funding. The company has cumulatively raised about $35 million.

The company has a team of over 1,000 medical, paramedical and healthcare professionals, who develop care plans for diseases such as congestive heart failure, stroke management, chronic obstructive pulmonary diseases (COPD), diabetes, dementia, Alzheimer’s disease and arthritis.

“We are witnessing strong consumer demand for our services in our current markets. Our revenue has risen four times and three of our branches have broken even in FY17,” Bali said.

HealthCare At Home, Care 24 and Portea Medical are other key players in the home healthcare space in the country.

Earlier this week, HealthCare At Home, a joint venture between promoters of Dabur India Ltd and founders of UK-based HealthCare At Home, raised $40 million from Quadria Capital Advisors Pvt. Ltd, according to media reports.

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