Even Healthcare raises $50M in Series B round led by Khosla Ventures

Bengaluru-based managed care company Even Healthcare has secured $50 million in a Series B round, led by venture capital firm Khosla Ventures. Alpha Wave also participated in the funding round. The investment increases Even's valuation threefold from 18 months ago and brings the company's total funding to over $120 million. The funds will be allocated towards the construction of five new hospitals in Bengaluru, commencing with the Indiranagar location. Currently, Even runs two hospitals in the city.

The company differentiates itself from traditional private healthcare by providing a care team that follows patients over time and offers cashless hospital care. This approach aims to prevent minor health issues from escalating into admissions and ensures that patients only receive necessary medical treatments. Additionally, Even's doctors are evaluated based on patient improvement, recovery speed, and reduced hospital readmissions, rather than the number of procedures performed or revenue generated.

In its first full year of managed care, the company reported unplanned readmissions below 1%, compared to an industry average of 8 to 15%. Furthermore, average hospital stays were 40% shorter. The proactive care model has prevented over 200 members from hospital admissions, saving patients an estimated Rs 15 crore to 16 crore. One of Even's hospitals achieved NABH 6th Edition accreditation within a year, one of only nine hospitals in Bengaluru to hold this prestigious certification. Both Even hospitals have already reached operational profitability.

Founders Fund and 8VC are among Even's backers, including Co-founder Mayank Banerjee. The company's mission is to establish an Even hospital within five kilometers of every family in Bengaluru and eventually in every major Indian city. Khosla Ventures' Vinod Khosla praised Even's unique approach, stating that while many healthcare companies optimize individual components of the fragmented system, Even strives to integrate financing, technology, and care delivery, rewarding the system for health outcomes rather than utilization quantity.

The company was founded in 2021 by Mayank Banerjee, Matilde Giglio, and Alessandro Ialongo. Other backers include Founders Fund and 8VC. As of now, Even serves more than 2.5 lakh members across 10 cities, with its membership tripling in the past year.