[Funding alert] Online pharma startup 1mg raises Rs 71 Cr from Bill and Melinda Gates Foundation
Gurguram-based healthcare startup 1mg has raised a total of $10 million in a venture round from the Bill and Melinda Gates Foundation.
As part of the deal, the foundation was allotted Class 5 Compulsorily Convertible Preference Shares (CCPS) with the premium amount capped at Rs 34,317.87 per share. According to the company's regulatory filings with the Ministry of Corporate Affairs (MCA), a total of 20,629 shares were allotted, bringing the total investment to Rs 71 crore.
However, Prashant Tandon, Co-founder, 1mg, declined to comment on the development, saying the round has not fully closed.
In June 2019, the healthtech platform raised $70 million in Series D funding round led by IFC, the investment arm of the World Bank, and Corisol Holdings, a European family office and the largest shareholder in Zur Rose/ DocMorris (Europe’s largest e-pharmacy).
The round also saw participation from a consortium of venture capital funds from South Korea, led by Redwood Global - Korea Omega Healthcare fund. 1mg's existing investors Sequoia Capital, Omidyar Network, Maverick Ventures, Kae Capital, and HBM Healthcare investments also participated in the round.
The startup raised Series C funding of $15 million from HBM healthcare investments in July 2017, which was a follow-up funding round to the $16 million it raised in May 2016 from Maverick Capital Ventures.
In April 2016, it raised a total of Rs 100 crore in its Series B investment led by Maverick Capital Ventures, while its existing investors Sequoia India and Omidyar Network also participated in the round. In July 2015, 1mg entered the alternate medicine space, with the acquisition of Homeobuy, a web platform for homeopathy medicines.
Started in 2013 as Healthkartplus, 1mg was initially launched as part of the Healthkart family. The initial seed money was used to set up the technology and resources to scale the business. However, 1mg now functions as a separate entity. One of the other prominent players is Sequoia-backed Practo. The e-pharmacy space is crowded with other players like Netmeds, mChemist, Medd, DeliMedi, CareOnGo, and MediDali.
(Edited by Megha Reddy)