Healthtech Startup Healthify Scores $45 Mn in Series D Funding, Eyes US Expansion

Neha KamathOctober 25, 2024

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Three points you will get to know in this article:

With the extra cash, Healthify finished its Pre-Series D funding round at $45 million.
Healthify would use the extra funding for global expansion, with an emphasis on entering the US market and developing its AI capabilities.
The firm announced that it has achieved operational profitability in India and is on target to become EBITDA-positive by the end of FY25.

Healthify Closes Series D Round With $45 Mn in Bag, Multiple New & Existing Investors Participate

Bengaluru-based healthtech startup Healthify (previously HealthifyMe) has secured an additional $20 million, bringing its Pre-Series D investment to $45 million.

The investment round was led by current investors Khosla Ventures and LeapFrog Investments, with participation from new investor Claypond Capital, Ranjan Pai’s family office.

Tushar Vashisht founded Healthify in 2012, and it offers a health and fitness app that uses AI and advice from human coaches to provide individualized food and workout solutions. It also provides B2B corporate wellness solutions through partnerships with diagnostics, insurance, and pharmaceutical companies.

In June last year, the business raised $30 million, with $25 million in equity capital and $5 million in venture loans.

Where Will Healthify Use It’s Series D Funds?

In a statement, Healthify stated that the new funding would be used for global expansion, with an emphasis on entering the US market and developing its AI capabilities.

The business stated that it has performed successful alpha tests in the United States and plans to debut fully in the coming months.

“After producing results at scale in India with our unique blend of AI and human coaching, we are excited to introduce this strategy to the United States, the world’s largest health and fitness market. Vashisht stated, “With this funding, we’re one step closer to achieving our mission of putting a high-acuity health coach in everyone’s pocket.”

Healthify Revenue, Profit, Recent News

The firm promises to serve over 40 million people in more than 300 cities, with over 600 instructors. With the current fundraising, the startup’s total equity capital to far has risen to $125 million. Healthify announced that it has achieved operational profitability in India and is on target to become EBITDA-positive by the end of FY25.

It is worth noting that Healthify lay off approximately 150 people earlier this year as part of a reorganization effort targeted at increasing the EBITDA of its India operation and expanding into the United States.

On the financial front, Healthify’s net loss fell 10% year on year to INR 142 Cr in FY23. Operating revenue increased by 23.49% to INR 228.76 crore from INR 185.25 crore in FY22.

The development comes at a time when the country has seen a surge in healthtech businesses in recent years, owing to increased awareness of exercise and nutrition. From 2014 to June 2024, Indian healtech firms raised a total of $7 billion.