Red.Health: Revolutionizing Ambulance Services with $20M Funding from Jungle Ventures

Hyderabad’s Red.Health, previously recognized as StanPlus, has secured $20 million in a Series B funding round. This funding, comprising a blend of debt and equity, marks a significant milestone for the ambulance service provider.

Prabhdeep Singh, the Founder and CEO, revealed that around 80% of the raised funds were in the form of equity, with the remaining portion in debt.

The primary objective behind this funding is to propel expansion efforts and drive technological innovations within the company.

Who Invested in the Company?

The latest funding round was spearheaded by Jungle Ventures, accompanied by Alteria Capital, HealthQuad, and HealthX.

“Since our previous fundraising, we’ve made significant advancements in technology, particularly in optimizing our dispatch system for seamless operations devoid of delays or errors. With this new round of funding, we’re poised to expand operations and establish ourselves as a premier integrated medical emergency response platform in India,” remarked Singh.

Established in 2016, the startup has secured $43 million in funding across multiple stages from investors such as Pegasus FinInvest, Kalaari Capital, HealthXCapital, Hyderabad Angels, N+1 Capital, and various individual investors.

What is the Goal of the Fundraising Effort?

Established in 2016, Red.Health intends to utilize the newly secured capital to bolster various strategic initiatives. Primarily, the startup seeks to innovate its product portfolio and propel technological advancements.

A key emphasis will be on refining its dispatch system to mitigate human errors and enhance response efficiency. Moreover, Red.Health is in the process of crafting an AI-driven recommendation engine to optimize operations during medical crises.

The allocated funds will predominantly fuel Red.Health’s expansion across 40-50 cities, facilitating collaborations with upwards of 500 hospitals.

What Services Does Red.Health Provide?

Red.Health delivers a wide array of services across four key verticals: RED Ambulances, RED Assist, RED Priority Clinics, and RED Academy.

Moreover, the startup is venturing into a subscription-based framework, ensuring swift and readily available medical aid. With a fleet comprising 450 managed ambulances, 6,000 ‘Saathi’ road ambulances, and 10 aircraft for air ambulance services, Red.Health aims to revolutionize emergency healthcare accessibility.

Operating across 20 cities, Red.Health presently manages over 100 hospitals, offering both air and road ambulance services.

How is Red.Health Performing Financially?

Red.Health has exhibited notable financial progress. In the fiscal year ending March 2024, the company unveiled revenues amounting to Rs 100 crore, with projections indicating a doubling of this figure by FY25.

During the preceding fiscal year, Red.Health experienced a robust 45% revenue surge, climbing from Rs 46.13 crore to Rs 67 crore, albeit accompanied by a significant escalation in losses.

“We envision a future where every Indian can access emergency response at the touch of a button. Drawing upon our extensive healthcare expertise and network, we are thrilled to collaborate with Red.Health in establishing the most dependable emergency platform and ecosystem in India,” remarked Seemant Jauhari, Partner, Healthcare, at Jungle Ventures.