In an investment round managed by Jungle Ventures, Red.Health, earlier known as StanPlus, raised $20 million from a combination of debt and equity funding.
The Hyderabad-based firm, backed by Healthquad, Kalaari Capital, and HealthX, secured $20 million in its first Series A funding round in January 2022. Kalaari’s participation in the Series B round is unclear.
The new funding infusion aims to launch new product lines and expand services to more than 40 cities. Red.Health is well-known for its eight-minute ambulance dispatch duration.
Ambulance startup Red.Health Plans Expansion
From its establishment in 2016 to this current moment, Red.Health (formerly StanPlus) has raised $43 million through Seeding to Series B fundraising rounds. Intending to become India’s only integrated medical emergency response platform, the business plans to use the additional funding to improve its services, upgrade its technology, and improve its dispatch system.
Red.Health aims to expand to 40–50 cities and establish partnerships with 500 hospitals, expanding on its agreements with over 100 hospitals in 20 cities. They make it easier for hospitals, medical purposes, and wearable operators to respond quickly and easily to medical situations.
Red.Health’s CEO Plans Subscription Model for Medical Assistance
The CEO, Prabhdeep Singh, describes the company’s goal of launching a subscription-based system that provides easily accessible medical care. Presently, the company has 450 regulated ambulances in 20 cities.
In addition, it has 6,000 ‘Saathi’ road ambulances and 10 aircraft for air ambulance services. The goal of Singapore-based venture capital firm Jungle Ventures is to make immediate support easily accessible to all Indians with just one click.
Red.Health Expands Services and Revenue Amid Scaling Challenges
Red.Health relaunched and introduced a new model in January of last year, including four verticals: RED Ambulances, RED Assist, RED Priority Clinics, and RED Academy. In addition, they launched air ambulance services to more than 500 cities. Reports, however, indicate that the business is having trouble growing. A Mint story stated Red.Health’s difficulties in paying employee salaries.
Despite setbacks, Red.Health reported Rs 100 crore in revenue for FY24 and aims for a two-fold growth in FY25. Its Indian entity saw revenue rise by 45% to Rs 67 crore in FY23 from Rs 46.13 crore in FY22. However, losses increased significantly to Rs 31.74 crore during the same period.
Ambulance Startup Dial4242 Joins the Competition
The ambulance startup Dial4242 confirmed details of its seed fundraising round in September 2023. Red.Health is up against competition from companies such as MeduLance, HelpNow, ESahai, AmbiPalm, and Mo Ambulance, in addition to Dial4242.
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