One of the biggest seed investments in India’s healthcare sector has one of its first shots being fired as newly formed healthcare venture PB Healthcare Services, a sub unit of PB Fintech, has raised $218 million in a maiden equity funding round. General Catalyst, a prominent U.S. based venture capital firm, led the funding round bringing in $50 million. PB Fintech — the parent company of Policybazaar — infused around ₹539 crore (approximately $62 million), while another undisclosed institutional investor came in with similar amount. As a result, PB Fintech will own 26% of the firm and get two board seats.
In January 2025, we launched PB Healthcare, which will seek to develop a network of modern and tech-enabled hospitals across India. In the first phase, the company plans to open five to six multi-specialty hospitals in the NCR with a bed capacity ranging between 200 and 250 beds. Yashish Dahiya, CEO of PB Fintech, said that in the second phase, it was the company’s vision to expand to 25 to 50 smaller hospitals of 100 beds each.
The funds acquired will be put towards building state of the art hospitals and by integrating digital health services. Using technology, PB Healthcare aims to provide a seamless user experience with its aim to connect insurance, diagnostics, consultations, treatments, and even surgeries. The initiative is part of PB Fintech’s wider ambition to build a whole health ecosystem that will enable patients to enjoy better and more transparent access to medical care.
The aim is to improve patient care through leveraging data driven insights and removing unnecessary and excessive treatment which is one of the common challenges to the Indian healthcare system. The company is also building a mobile app to support this ecosystem where users will be able to configure appointments, book health checkups, and get service across the PB Healthcare network.
This diversification is both strategic as well as geographical and brings PB Fintech in a space which has been hitherto dominated by standalone hospitals and healthcare groups. To transform the way in which Indians access quality healthcare service, the company combines its digital platform expertise on top of physical healthcare infrastructure.
This development further proves a big leap forward for PB Fintech, which has so far worked primarily in the insurance and finance space. This push into healthcare also sets the company as a comprehensive health and wellness provider.
In addition, the company created an Employee Stock Option Plan (ESOP), aimed at attracting the best doctors and managers. However, with the external capital infusion in the latest funding round, PB Fintech’s stake in the subsidiary has been reduced to 32.14 per cent and the healthcare arm is not a wholly owned subsidiary anymore.
The launch of PB Healthcare Service also follows a broader trend of fintech platforms using their digital advantages to enter the healthcare space and offer an integrated service that creates a bridge between insurance and medical care.
