Medikabazaar, an online aggregator for medical supplies, has raised $5 million in Series A round of funding led by HealthQuad, a leading healthcare venture capital fund. Other investors in this round include Elan Corporation, Sasaki Foods, CBCCo. Ltd, Kois Invest, Mitsui Sumitomo Insurance Venture Capital and existing investors Sunil Kalra, Arun Venkatachalam & Rebright Partners II Investment Partnership.
Vivek Tiwari, founder and CEO of Medikabazaar said, "We have strategically partnered with HealthQuad to strengthen our foothold in the healthcare industry. Our goal of providing affordable, accessible and quality healthcare services is mirrored by HealthQuad."
Mumbai-based Medikabazaar plans to use this funding to strengthen technology and increase its team size including senior leadership. Soon the company is shifting its corporate office to a new location in Mumbai. The fund will also be used to streamline its supply chain and logistics capability to reach 50,000 hospitals and clinics by the end of next financial year. It also plans to increase its fulfillment centers from existing 7 to 20+ across India including tier 2 and 3 locations.
"In a price sensitive healthcare environment, cost optimization and quality delivery will become critical success factors for any healthcare provider. Medikabazaar has disrupted the entire supply chain model, to directly reach hospitals and clinics across metros and smaller towns, offering competitively priced quality products in desired time-frame through its technology platform," said Dr. Amit Varma, founder of HealthQuad.
"We are delighted to partner with Medikabazaar and participate in this new age model that fits the low price environment and facilitates adoption by the mass market," Varma added.
Medikabazaar is revolutionizing the way hospital purchases their inventory and helps them cut procurement costs by 15-20%. The company connects with healthcare facilities in tier 2, 3 cities and rural areas apart from urban
cities to help them fulfill their healthcare needs. Apart from hospitals and clinics Medikabazaar's target customers include manufacturers, distributors and re-sellers of equipment & consumables who list their products on the online aggregator's site for sale."Our goal is to work towards a breakthrough when hospitals and clinics will log in to our portal to place orders for their entire procurement needs. Our intuitive AI based procurement tool will also help them reduce overall inventory costs," Tiwari added.
Last fiscal, the company raised around USD 1 Million in pre-series A round of funding by Rebright Partners II Investment Partnership, Sunil Kalra & Arun Venkatachalam and another angel investor from Japan. Medikabazaar was started in April 2015 by Vivek Tiwari, an alumnus of IIM-Calcutta and Ketan Malkan, a serial entrepreneur.