India's healthcare technology sector is experiencing a boom in IPOs on the back of the strength of rapid digitisation, governmentfriendly policies, and growing adoption of artificial intelligence (AI) in healthcare delivery.
Key Highlights:
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Speed of IPO Picks Up: Six out of the 12 healthcare IPOs in January 2024 were healthtech firms, which raised over ₹11,000 crore. Some of the prominent listings are Entero Healthcare Solutions, Indegene, Sagility India, Sai Life Sciences, and Inventurus Knowledge Solutions.
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Digital Push PostPandemic: The use of digital health was expedited during the COVID19 pandemic with the popularity of eSanjeevani and private telemedicine services. With this, healthtech business became more investorfriendly.
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AI Integration Accelerates: From AIdriven diagnostics to customized treatment plans, healthtech firms are using AI to improve efficiency and patient outcomes, making them even more desirable in the market.
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Conducive Policy Framework: Policymaking and deregulation have eased compliance and opened the door to capital markets, encouraging more startups to list.
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Future IPOs: QubeHealth, Vitraya, Practo, and Medulance are also going to list in the next 2–3 years, with QubeHealth targeting an ₹800 crore issue by FY31 and Vitraya targeting a ₹500 crore IPO in 36 months.
While India's health spending is stuck at a meager 3% of GDP, the sector has been forced to turn a corner—and healthtech IPOs are at the helm.
Source: Business Standard, IndiaAI, PitchBook
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