Ultrahuman, a startup that makes devices to track sleep and glucose levels, is nearing a deal to raise over $120 million, or over Rs 1,000 crore, in a fresh round led by WestBridge Capital, with participation from other private equity players, sources aware of the developments told Moneycontrol.
The deal is firming up as an increasing number of people become more curious about their health and investors bet on the science of longevity.
The round could potentially value the company at around $550-$600 million, a 4.5X jump from $125 million in March 2024, one of the sources said. "While WestBridge will likely lead the round, other private equity guys may also join in to push the total round size to over $120 million," the source added.
Ultrahuman is discussing a larger round with WestBridge at a time when a smaller, $40 million, deal talks with SoftBank did not materialise as the two parties could not find common ground over the future potential of the company, sources said. The $40 million deal would have been SoftBank's first new investment in India after a break of nearly two years. So far, it has only been doing follow-on rounds in exisiting portfolio companies such as Meesho and Eruditus.
The company is raising fresh funds at a time when one of its key backers, Eternal (earlier Zomato) founder Deepinder Goyal, has also entered the arena with his own longevity startup, Continue, Moneycontrol had exclusively reported earlier, a move that could potentially intensify competition for Ultrahuman.
Ultrahuman, SoftBank and WestBridge Capital did not reply to Moneycontrol's queries.
For WestBridge, Ultrahuman will be another large ticket investment after recent bets on startups such as Rapido and PhysicsWallah (PW).
Ultrahuman doubles revenue
Ultrahuman’s current round may well exceed $120 million, at least 3X more than an earlier plan to raise $40 million or so, as more investors, especially the private equity guys, back Ultrahuman which has scaled rapidly in the past months.
“The company is clocking a revenue run rate of $150 million currently, around double of last year, which also helps justify the valuation bump up,” a second person aware of the developments said.
“We surpassed our own estimate by 30 percent…we largely underestimated the seasonality...” Ultrahuman said in a blog post earlier this year while highlighting its annual performance for the year 2024.
In the calendar year 2024, Ultrahuman said it clocked a revenue of $74 million, a 6X increase from $13 million in CY23. That essentially means that Ultrahuman has doubled revenues in the past year and grown over 11X in two years.
An increasing geographical presence, growing from two countries in CY23 to over 10 countries in CY24, and a wider catalogue also helped the company increase its average order value (AOV) from $363 in December 2023 to $412 in December 2024, the annual report added.
Founders Mohit Kumar and Vatsal Singhal, former top employees at Eternal (now Zomato), started Ultrahuman in 2019 and have raised a total of over $50 million across five rounds, as per Tracxn, a private markets data provider.
“While the current deal will help the company expand into more countries and expand its product suite, it will however raise at least one more round before it plans to go public a few years down the line,” a source concluded.
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