Soft­bank in­vests in dig­i­tal health firm Alodok­ter

Mint Asia ST - - News Dealstreetasia - BAY NTONIA T IMMERMAN & A ASTHA M AHESHWARI


Gate Ven­tures-backed In­done­sian dig­i­tal health start-up Alodok­ has raised around $7 mil­lion in a Se­ries B round. Ja­pan’s Soft­bank Group Corp. was among the in­vestors that par­tic­i­pated in the round, ac­cord­ing to three peo­ple aware of the de­vel­op­ment. At the time of pub­lish­ing this story, Alodok­ter had not re­sponded to an email query on the new fund­ing round.

Halodoc, whose Se­ries A round in 2017 was joined by ride-hail­ing firm Go-jek, was said to be look­ing at rais­ing over $15 mil­lion by early next year, while Alodok­ter was eye­ing about $5-6 mil­lion.

In 2016, Alodok­ter had closed its $2.5 mil­lion Se­ries A round led by Golden Gate Ven­tures, with par­tic­i­pa­tion from re­turn back­ers 500 Star­tups and Sin­ga­porean en­tre­pre­neur Lim Der­sh­ing. All three in­vestors had also par­tic­i­pated in its seed round in April 2015.

Alodok­ter had then said it would use the pro­ceeds to ex­pand its busi­ness op­er­a­tions across South-east Asia. It cur­rently gen­er­ates rev­enue from ad­ver­tise­ments by health­car­ere­lated brands on its por­tal and app.

Founded in 2014 by CEO Nathanael Faibis, Alodok­ter cur­rently claims to have over 12 mil­lion monthly ac­tive users. It of­fers con­tent about health, well-be­ing and fam­ily. The start-up launched the Alodok­ter app in March 2016 that claimed to have over 150,000 users’ ques­tions an­swered ev­ery month by doc­tors via a chat plat­form. Faibis had ear­lier said that Alodok­ter plans to launch a hos­pi­tal com­par­i­son app soon.

Cur­rently, Alodok­ter faces com­pe­ti­tion from lo­cal ri­vals Dok­, Meet­doc­tor, KlikDok­ter, and 1Health, apart from Halodoc.

In­done­sia’s health­care ex­pen­di­ture is ex­pected to grow from $26 bil­lion in 2014 to $51 bil­lion by 2020, ac­cord­ing to in­dus­try ex­perts. The sec­tor is cur­rently dom­i­nated by out-of-pocket spend­ing that con­sti­tutes about 75% of to­tal trans­ac­tions. With such low in­sur­ance-cov­ered ex­pen­di­ture, there is an op­por­tu­nity for di­rect-to-con­sumer play to op­ti­mize the value chain in health­care. Many in­ter­na­tional in­vestors are ex­cited at this op­por­tu­nity, given that such prob­lems could be solved through ad­vances in tech­nol­ogy.

In­done­sia’s health­care mar­ket is al­ready see­ing grow­ing in­ter­est from global and lo­cal in­vestors. In Oc­to­ber last year, pri­vate equity firm Saratoga Cap­i­tal en­tered the space with an in­vest­ment in hos­pi­tal op­er­a­tor FABS. Other healthtech firms have also ex­panded to In­done­sia, in­clud­ing the Philip­pines’ mclin­ica, a plat­form con­nect­ing phar­ma­cies and col­lect­ing health­care data, and In­dia’s fastest grow­ing health­care start-up Practo.


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