Karma Primary Healthcare, a digital health startup focused on providing primary healthcare services to rural communities, has raised Rs 11 crore (approximately $1.3 million) in a Series A funding round. The round was led by UBS Optimus Foundation, with participation from 1Crowd and other investors.
Before this, the Hyderabad-based company had raised $1.69 million from various investors, including Ennovent, Ankur Capital, Innospark, and Grand Challenges Canada.
The newly acquired capital will enhance the startup’s technological infrastructure and expand its team, as Karma transitions to a patient-centric care model designed to improve healthcare access for rural patients. The company’s platform offers tech-enabled remote patient monitoring services and remote consultations with doctors, specifically catering to underserved rural areas.
Founded in 2014 by Jagdeep Singh Gambhir, Gagandeep Singh Gambhir, and Manjeet Singh Gambhir, Karma Primary Healthcare operates an innovative model where community health workers in rural clinics facilitate video consultations between patients and physicians, manage vital records, and provide e-prescriptions along with free medications.
Currently, Karma operates across eight states in India and has seen a threefold increase in its patient base over the last three years, impacting more than 350,000 lives—55% of whom are women. The company aims to expand to 100 locations and serve over 150,000 patients annually by 2027, shifting from a transaction-based care model to a value-based, patient-centered approach.
Despite its growth, Karma faced challenges in the last fiscal year, with revenue dropping by 7.5% to Rs 4.79 crore in FY23, down from Rs 5.18 crore in FY22. Additionally, the company reported a loss of Rs 3.21 crore in FY23, reversing a profit of Rs 10.20 lakh from the previous year.
Karma Primary Healthcare competes with other digital healthcare platforms such as DocOnline and Practo, as it continues to push for greater accessibility to quality healthcare in rural India.
