Bengaluru, NFAPost: HealthifyMe, a leading health-tech company in India, closed a $75 million Series C from LeapFrog and Khosla Ventures, with plans to grow its user base in India, Southeast Asia and North America.
Besides planning to go for global expansion in Southeast Asia and North America, HealthifyMe will use the funding round for building more ranges of customisable health programmes.
The Bangalore-based company announced its decision today as the world over Covid-19 pandemic has unleashed an uncertain period and citizens are much more conscious of their health and eating habits.
It is interesting to note that HealthifyMe is the first Indian health tech startup LeapFrog has invested in, and Khosla Ventures’ largest investment in India to date. Unilever Ventures, Elm and Healthquad also participated in the round along with returning investors Chiratae Ventures, Inventus Capital and Sistema Asia Capital.
Since its inception, HealthifyMe has now raised more than $100 million in total. But the company did not disclose its post-money valuation. But co-founder and chief executive officer Tushar Vashisht said it is on its way to be startup with “soonicorn” status.
Expressing his ambitious game plan, Tushar Vashisht said the company achieved the staus as India’s top health and fitness app and now looking at become a global player. “In North America, it is popular among Indian expat and Indian American communities, and now it will target other customer segments, too,” he said.
Besides HealthifySmart to customize diet plans for users using AI-based tools, HealthifyMe’s products includes live conversations with coaches. During the pandemic, the company launched HealthifyPlus, for people who are managing chronic conditions like diabetes, polycystic ovary syndrome, high cholesterol or hypertension, and HealthifyStudio, with live workout classes.
The app also has a AI-based nutritionist called Ria that is trained for cuisines in different markets through a combination of user-tracked data, guidance from local nutritionists and databases from sources like the United States Department of Agriculture.
HealthifyMe will work with LeapFrog’s research and development hub, ImpactLabs, to develop more programmes for people with chronic health conditions.
HealthifySmart and HealthifyStudio, its newest products, already contribute 25% to the company’s line. HealthifyMe also says it doubled its user base and revenue over the last year, recently surpassing 25 million downloads, and is currently on target to reach $50 million in annualized recurring revenue within the next six months. It has about 1,500 trainers and coaches on the platform, with plans to add 1,000 more to support its expansion.
Since HealthifyMe began operating first in cost-sensitive markets, it started using AI early on to scale efficiently, Vashisht said. As a result, it is able to offer products at lower prices than its competition.
Tushar Vashisht said today in the U.S there is free DIY calorie counting solutions like MyFitnessPal and expensive human-assisted coaching and diet solutions like Noom and WeightWatchers. “But nothing in the middle exists that allows one to track nutrition and calories while getting advice at an affordable price point,” said Tushar Vashisht.
About 25% of HealthifyMe’s revenue comes from outside of India, including Singapore and Malaysia. When it enters a new market, the company localizes its services using a playbook.
For its HealthifyPlus customers, the company has seen a statistically significant impact on their Hemoglobin A1C (Hb1AC), LDL cholesterol and thyroid-stimulating hormone (TSH) levels. Vashisht added that HealthifyMe plans to publish its results in the coming months, and also hopes to integrate with diagnostics providers in the future to track clinical indicators.
Part of the new funding will be used to double HealthifyMe’s current engineering and design teams, including through acqui-hires, with the company looking for digital health and wellness companies to buy. It will also fill senior leadership roles in operations, marketing, human relations and technology.
(The story is based on TechCrunch report)
