India: Airmed Path Labs, a home-service health-test platform, has raised about Rs 10 crore from Bennet Coleman and Co. Ltd.’s (BCCL) investment arm Brand Capital to help fund its expansion and strengthen its brand.
“We will be deploying these funds to increase brand salience and brand awareness to widen our customer base and enter new markets,” said Amit Gupta, co-founder of the Ahmedabad-based company. “By next month, we will be in Delhi, Gurgaon and the rest of Gujarat.”
Airmed Path Labs, which outsources demand to local pathology laboratories and enables their back-end technology to improve capacity, competes with a host of diagnostics chains, including publicly-listed Dr Lal PathLabs, and Fortis Healthcare-controlled SRL, in a hyper-competitive and highly fragmented sector.
According to industry experts, India has about 60,000 laboratories and 6,000 diagnostic centers. Machines in the majority of them run for only 20 percent of the time, indicating significant capacity under-utilization. Experts say that by 2020, there will be an “Uber” fication and “Oyo” fication in this sector, which is growing at a CAGR of 18%, with startups leveraging technology to organize the market, and help correct the supply-demand mismatch.
Founded by doctors Amit Gupta and Aradhana Gupta and techie Piyush Gupta in February 2016, Airmed Path Labs clocks about 1,000 orders per month and makes profit on every order. In Ahmedabad, the company has over a dozen labs. “We expect to add over 100 labs by March 2018,” said Gupta.
The Ahmedabad-based company directly competes with cricketer Yuvraj Singh-backed Healthians, a lab aggregator that has raised about Rs 23 crore to date.
Source: ET Tech