Inspired by Prime Minister's Startup India, Standup India mission, Dr. Huzaifa Khorakiwala - the scion of the Wockhardt family has launched a Healthcare Angel Fund called Health Passion Fund. Health Passion Fund is targeting to raise a Rs. 125 crore corpus and will look at an investment upto Rs. 5 crore in each startup.
Having managed & grown a healthcare unicorn in India, Dr. Khorakiwala wants to strengthen the healthcare startup ecosystem and support creation of more healthcare unicorns from India. He believes that startups in the regulated health vertical need operational and business support as much as they need financial support.
Dr. Khorakiwala says, “India's healthcare vertical touching $150 billion needs a lot more disruptive ideas to provide new age solutions to conventional health problems. The scale of unserved markets need technology enablers to solve conventional health problems and this needs encouragement and support of industry players. Global precedents show that this can reduce cost and response time, and increase efficiency of the sector. Besides, this can create more domestic jobs & strong Indian startups who can go global.”
He added, “We will also help our funded startups to rollout a no-frill version of their product for the masses & thus create a well-funded basket of inclusive healthcare solutions for Indian masses.”
ProHealth Catalyst will be the investment advisor of the fund and its key members are Sumit K.Mody and Anand Oswal. Both professionals are alumni of London Business School.
Mr. Mody says, “Breaking from the tradition of deal showcasing and blind faith on fund manager’s investment calls, our fund intends to provide all our investors real time discretion to accept or reject each of our investment proposals. Also, our sector focused approach will allow us to do better integration of portfolio companies for exit, growth and further funding within next 2-3 years."
"Moreover, as a result of Government’s encouragement of Angel Investors, our fund category can accept LP contributions of Rs 0.5 Cr and we are working out the modalities with our distribution partners.”
The investment committee of the fund comprises of Dr. Huzaifa Khorakiwala, Mr. Ramesh Alur and Dr. Prashant Jha.
The fund will seek to invest in around 30 healthcare startups of under 3 years of operations with qualified team, proof of concept, revenue & business traction. It will focus on startups using technology as an enabler or driver in healthcare.
Fund's registration is in-process at this point of time.