Exclusive: 5C Network raises $3 Mn in a new round

Medical diagnostics platform 5C Network has raised Rs 25.5 crore (approximately $3 million) from Redwood India Healthcare Fund in a new round. This is the first investment for the firm this year.

The board at 5C Network has passed a special resolution to issue 2,72,241 CCSPS at an issue price of Rs 936.67 each to raise Rs 25.5 crore, its regulatory filing accessed from the Registrar of Companies shows.

For background, the Bengaluru-based company has raised the proceeds after a gap of more than 17 months.  5C Network last raised $4.6 million in its Series A round led by Celesta Capital in Oct 2022.

As per the startup data intelligence platform TheKredible estimates, the company has been valued at around $30 million (post-money).

Founded in 2016 by Sivasailam and Syed Ahmed, 5C Network enables users across India to store, create, and analyse radiology images. It facilitates hospitals in maximizing returns on their radiology infrastructure by providing access to radiologists.

With the backing of Tata 1mg and Celesta Capital, the firm has raised over Rs 80 crore to date. Before the fresh proceeds, Unitus Capital was the largest external stakeholder with 20.8% followed by Celeseta Capital and Tata 1mg. Its co-founders Kalyanasundaram S and Syed Sabbir Ahmed cumulatively commanded 33.9% of the company.

5C Network has been struggling with growth and this could be evident from its collection which dwindled by 20% to Rs 18.75 crore during the fiscal year ended March 2023. Moreover, the company posted Rs 19.47 crore loss during the same period.