Silicon Valley-based software startup Innovaccer to enter unicorn club: Healthcare

Innovaccer, a Silicon Valley-based software startup focused on the healthcare industry, is in talks to raise about $100-150 million from Tiger Global at a valuation of over a billion dollars, sources close to the development said. This will make it India's newest unicorn, at a time when enterprise software firms are raising large rounds at a rapid pace.

Founded by Abhinav Shashank, Kanav Hasija and Sandeep Gupta in 2015, Innovaccer was valued at $400 million last February, when it raised $70 million from Tiger Global, Steadview Capital, Dragoneer Investments, Microsoft venture fund M12, and early backer Lightspeed Venture Partners India.

Innovaccer's main objective is to take the millions of data points available in the healthcare industry — patient profiles, risk factors, types of disease, etc — and channel that data effectively to digitise solutions for hospitals, clinics and patients.

Its main product, InCare, includes patient assignment, automated outreach, collaborative worklists and being able to measure team and individual productivity in various ways. As Innovaccer has grown, its solutions have aimed to cover all aspects of the healthcare industry, including remote patient monitoring, bundled payments and all overall healthcare data platforms.

The Covid-19 pandemic, which has accelerated digital adoption across industries, has also helped Innovaccer. Digital solutions, including patient records, internal messengers and analytics, also help avoid physical contact to some extent.

Innovaccer has also developed tools aimed at dealing with the pandemic, including medication inventory tracking, staff planning for Covid-19 demand, real-time updates on critical metrics, and a telehealth platform for patients.

Tiger Global, which is in talks to double down on its investment, has also been particularly aggressive on Indian software-as-a-service firms for the last two years or so, particularly in 2019. Its enterprise bets during the period include salon software firm Zenoti (now a unicorn), mobile marketing platform CleverTap, and logistics software firm Locus, which were spearheaded by Tiger's new chief Scott Shleifer.

Shleifer's predecessor Lee Fixel had also led Tiger Global's early investment in Freshworks, which at $3.5 billion is currently India's largest SaaS startup by value.

The fundraise will make Innovaccer India's newest unicorn, at a time when enterprise software firms are raising large rounds at a rapid pace.