Pristyn Care and Lybrate are in the final stages of discussions that will result in the acquisition of all of Lybrate’s digital assets by Pristyn Care. The deal, which was worth approximately $50 million, has been completed. Tiger Global Management LLC, a common investor in both companies, played a major role in the transaction’s completion. As a result of Pristyn Care and Lybrate acquisition, Pristyn Care will now be able to provide doctor and pathology consultations on Lybrate platforms such as Web, Android, iOS, Alexa, etc. You can now ask a doctor anything you want with a touch of a finger and save it for your next doctor visit.
About the Pristyn Care and Lybrate Acquisition
Let’s start by knowing about Pristyn Care.
Pristyn Care is a healthcare startup that seeks to provide patient-centric surgical healthcare services. The company offers a wide range of specialised procedures, including proctology, urology, ENT, gynaecology and vascular surgery. It operates in 22 cities nationwide.
On the other hand, Lybrate is an online doctor database that gives you access to 150,000 highly trained medical experts. You can ask a doctor anything you want with a touch of a finger and save up to 70% time on your next doctor visit. They use a stringent verification process to ensure your satisfaction every time.
In 2018, three entrepreneurs—Harsimarbir Singh, Dr Vaibhav Kapoor, and Dr Garima Sawhney—founded Pristyn Care, an online platform for booking health checkups.
A year later, Tiger Global Management LLC invested in the company. It played a key role in putting this Pristyn Care and Lybrate acquisition together. The transaction was also made possible by the issuance of partly paid compulsorily convertible debentures (CCDs) to Saurabh Arora (20,320) and Rahul Narang (20,320), according to terms obtained from the Registrar of Companies (RoC). Lybrate is co-founded by Arora and Narag; this allotment is valued at roughly Rs 30 crore.
Funding
In December 2021, Pristyn Care, based in Gurugram, raised $96 million in a Series E round headed by Sequoia Capital and Tiger Global. The three-year-old company uses a hybrid approach—it establishes its clinics while utilising third-party hospital infrastructure to offer surgery in ten specialities.
Lybrate raised $3 million from an investor in 2017. Since then, the company has not raised any funds. It appears they have prioritised sustainable growth and posted profits in FY20 and 21. For the year ending March 2021, Lybrate’s operating revenue shrank 32% to Rs 27.16 crore from Rs 39.94 crore in FY20 as per its annual financial statements filed with the RoC. Ratan Tata and Nexus Venture Partners are among Lybrate’s investors.
Conclusion
The Pristyn Care and Lybrate acquisition will allow both companies to develop innovative technology and solve problems. The key challenges that the online doctor consultation industry faces are technology, cost-effectiveness, and proper training of doctors. There is an opportunity for better innovation and more competition in the online doctor consultation space by way of mergers and acquisitions.
