IT startup Attune Tech raises $6m from Norwest Venture

Tags: Companies
Healthcare IT product company Attune Technologies announced on Monday that it has raised $6 million from Norwest Venture Partners (NVP), a global multi-stage investment firm. Mohan Kumar, executive director of NVP would be joining Attune’s board of directors. The company refused to divulge details of its size and equity dilution for the series A funding.

Attune offers cloud-based healthcare operations management solutions that can be used by single-doctor clinics as well as multi-centre national hospitals. It has about 85 customers including Metropolis, Medall and Suburban across India and rest of Asia. The company has about 65 people working in India, Indonesia, Malaysia, Philippines and Vietnam.

Arvind Kumar, CEO and director of Attune, said: “Funding from NVP enables us to accelerate the growth of our cloud-based model in India as well as in other key global markets. Norwest has a strong track record in building successful cloud-based product companies and we are looking forward to working closely with the firm to grow our business further. We plan to deploy the funds to enhance product development and scale our business operations across South Asia, South East Asia, Middle East and China.”

Hospitals have to spend at least Rs 35 lakh a year for software license, hardware, maintenance and management to set up operations management systems. Annual maintenance, technology obsolescence and opportunity cost would also have to be factored in while calculating expenses in the traditional in-house IT management model, he said.

Attune charges hospitals/labs based on the number of beds/test samples unlike in the purely variable-cost-based per user model. This gives healthcare providers flexibility in operations, he said. The Attune service would cost Rs 35,000 to Rs 40,000 a month.

Mohan Kumar, executive director of NVP, said: “The healthcare services market is growing rapidly in the India/Asean/Mena region with the creation of large chains of healthcare service providers. We believe that a cloud-based architecture naturally lends itself to integrating these large chains, bringing in operational efficiency and also integrating the various suppliers and partners in the healthcare ecosystem. We liked Attune’s product architecture and the management team’s expertise, which drove our investment decision.”

Around the globe NVP operates as an early-stage investor while in India it funds through various growth stages of companies. With over $3.7 million in capital, the PE has funded about 500 companies since inception 50 years ago. It invests across the technology, healthcare, financial services and infrastructure sectors.

shyamalaseetharaman@mydigitalfc.com

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