Mfine tops up Series B round with Rs 40 Cr in equity and debt

On-demand healthcare services startup Mfine has secured Rs 39.55 crore as a part of its ongoing Series B funding round led by Caretech Pte Inc, an entity owned by Mfine’s co-founders and others. The Bengaluru-based company had kicked off its Series B funding round in April last year.

The latest capital infusion is a mix of debt and equity in which Singapore-based Caretech has invested Rs 18.5 crore for 16,314 Series B3 equity shares along with Rs 3.05 lakh for 27 Series B3 CCPS, regulatory filings show.

As debt, Caretech has also put in Rs 17.75 crore for 15,680 compulsorily convertible debentures and existing backer Alteria Capital has put in Rs 3 crore. In July last year, the Mumbai-headquartered venture debt firm had invested Rs 31 crore in the startup. 

Caretech Inc Pte is Mfine’s Singapore based related entity and its shareholders include  Prasad Kompalli, Sarma Kompalli, Ashutosh and Raghvendra Lawania and Arjun Chaudhary.

The brainchild of Kompalli and Lawania, former senior executives at Myntra, Mfine offers professional diagnostics and health check-up services. Unlike aggregating individual doctors on the platform, the three-year-old startup partners with top hospitals and runs an online consultation app.

Usage of online consultation apps and medicine delivery services have seen a meteoric rise during the Covid-19-induce lockdown and through the various phases of unlock, benefitting platforms like Mfine. According to the company, it recorded an 8X rise in demand from states with the lower doctor-to-patient ratio in India since the lockdown. 

Mfine has seen new user signups and consultations from West Bengal, Uttar Pradesh, Bihar, and Jharkhand and according to a Mint report, it has over 500 hospitals on the platform with more than 3000 doctors of which 250 hospitals were added in the last 3 months.

At present, Mfine claims to process 10,000 transactions daily.

In the mental wellness space, Mfine competes with YourDOST and Wysa which have also seen a surge in user engagement during the lockdown. Backed by the likes of SBI Investment, BEENEXT, Stellaris Venture Partners and Prime Venture Partners, Mfine has secured around $34 million across equity and debt since inception.