India’s HealthKart nets $500M in new investment

Indian nutrition startup HealthKart’s valuation has risen to nearly $500 million in a new $153 million second round investment, two sources familiar with the matter told TechCrunch.

The investment, one of the largest for Indian consumer startups this year, was jointly led by private equity firms ChrysCapital and Motilal Oswal, with Avendus Capital acting as financial advisor. A91 partners and asset manager Neo Group also participated in the round. Earlier the startup was estimated at $350 million.

Some of the startup’s older investors have sold their shares to new backers, the sources said. Peak XV, formerly known as Sequoia India and Southeast Asia, has fully exited the startup, selling shares for about $120 million. HealthKart counts Peak XV, Temasek, Sofina and wealth manager IIFL among its backers.

Gurugram-based HealthKart reported revenue of $118.5 million for the year ended March 2024, cementing its position as the largest consumer food platform in India. The startup sells protein supplements and health aids.

The 13-year-old startup, spun off from online pharmacy startup 1MG, said Thursday it is buying back $6.5 million worth of shares from employees. The start was profitable EBITDA for the financial year ended March.

“India’s sports nutrition market, currently underdeveloped, is expected to grow due to rising fitness awareness and increasing importance of nutrition and protein,” said Arpit Vinayak, VP at ChrysCapital, in a statement.