BENGALURU: Healthcare platform Practo has raised $55 million (about Rs 366 crore) in its series-D funding round, which was led by Chinese internet conglomerate Tencent. The deal values the Bengaluru-based venture at around $620 million (Rs 4,140 crore), according to two sources familiar with the matter.
With this funding round, three new investors – Russia-based ru-Net, Japan-based RSI Fund (owned by Japan’s Recruit Holdings) and the USbased Thrive Capital — have joined Practo. Its existing investors Sequoia Capital, Matrix Partners, Capital G(formerly Google Capital), Altimeter Capital and Sofina also participated in this round.
The company said it plans to use these funds to further integrate its platform and for global expansion. The total funds raised by Practo now stands at $179 million. ET reported this development in its July 6, 2016 edition.
The company now also has plans to bet big on the health insurance space, which, it feels, faces challenges such as lower penetration and poor consumer experience. “We will be an aggregator, helping insurance companies to reach out to their providers.
We will be launching shortly,” said Shashank ND, CEO of Practo, who declined to comment on the valuation. Thrive Capital could possibly play an important role for Practo as its managing partner Joshua Kushner is also the cofounder of Oscar Health, a health insurance company.
Joshua’s brother Jared Kushner is married to Ivanka Trump, the daughter of President-elect Donald Trump, and is Trump’s senior advisor. “Thrive (Capital) has some really good investments in the US. They probably have one of the best portfolios in health-tech. They will be helpful in both connects and knowledge in this space,” said Shashank.
On the consumer side, Practo provides doctor and diagnostic tests booking, online consultation, management of health records and online medicine ordering. Additionally, it also offers health content to consumers written by doctors.
“We have been delivering medicines in Bengaluru over the past one year. It has been a learning for us. We are waiting to see clarity in the regulatory framework. We will be doing some strategic partnerships for delivery of medicines across India. We will cover Mumbai and Delhi first and then we will see how we can cover the other parts of the country,” said Shashank.
On the enterprise side, Practo partners with healthcare providers like doctors, clinics, diagnostic centres and hospitals to provide help through analytics and software to manage patients. Some of Practo’s customers include Max Healthcare and Cloud Nine.
“Practo has made impressive progress, expanding its platform to cover more and more healthcare needs of consumers and providers. A full-stack model in healthcare is very difficult to pull off, but Practo has built and rapidly scaled a full-stack solution that is rare to see globally. We are excited to strengthen our partnership with Practo, and look forward to working with them to transform healthcare,” said Hongwei Chen, executive director of investment and M&A at Tencent.
Practo has also expanded its enterprise software to the Middle East, with customers including institutions such as Lifeline Hospital in Abu Dhabi and American Academy of Cosmetic Surgery Hospital in Dubai using Insta — the full-stack HIMS solution for enterprises, said an official release from the company. Practo recently made its fifth acquisition with advanced analytics firm Enlightiks to offer business intelligence solutions to healthcare enterprises.