Online drug seller 1mg has acquired online healthcare consultation platform Dawailelo for an undisclosed amount, according to statement issued by the company. After acquisition formalities are completed, the Dawailelo staff will report to 1mg COO Tanmay Saksena, the statement added.
This is online drug seller’s fourth acquisition. Its last three acquisition includes multi-speciality e-hospital platform MediAngels, diagnostic e-commerce platform Medd.in and ayurvedic & homeopathic drug portal Homeobuy.
With latest acquisition, 1mg is hoping to consolidate its presence in Tier II and III cities, region where Dawailelo has made a strong niche for itself. Since its inception in 2013, the Varanasi-based startup has helped scores of citizens living in small towns and villages to connect with physicians, chemists and pathological labs. The company was founded by Aditya Agrawal and Arpit Sarin and managed to raise nearly 35 lakh in seed funding during the last financial year.
1mg, on other hand, is quite an established name in big urban and Tier I cities. But the startup is still believed to be very far from disturbing India’s highly nascent online pharmacy industry. The company was established by Prashant Tandon and Sammer Maheshwari in 2012. It has so far managed to raise nearly $37 million through various rounds of funding. Its last funding came in July, with Switzerland-based HBM Healthcare leading the series C funding.
The online pharmacy seller counts big investors like Sequoia India and Mak MyTrip founder Deep Kalra. Its other investors include Omidyar Network, Maverick Capital Ventures and Kae Capital.
India’s online drug market may be still in nascent stage, but the market is seeing entry of several players that has brought much needed competition for 1mg. This includes players like NetMeds, mChemist, Pluss, Medikoe and BigChemist.