Burman funded HCAH’s non-hospital care chain gets funding round

Delhi-based health-tech firm HCAH (formerly HealthCare at Home) will build 1,500 beds in transition care and long-term care focused on physical rehabilitation and recovery, and long-term care for elderly to create a pan-India out-of-hospital care platform. The company has raised ₹112 crore from ABC World Asia (ABC), a Singapore based impact-focused private equity fund, for the purpose.

While there is one bed available for rehabilitation and recovery (transition care beds) for each tertiary care hospital bed in the U.S., transition care concept is still new to India. HCAH currently has 150 beds across National Capital Territory Region of Delhi, Bengaluru and Hyderabad. It plans to ramp up the numbers to 1,500 in three years.

“The total “Out of Hospital Care” addressable market in India is estimated at $35 billion and is forecasted to grow to $85 billion by 2025. We founded HCAH nearly a decade ago to address this opportunity and remain confident that HCAH is the best team with the best platform in India to address this opportunity,” Gaurav Burman, managing partner, Burman Family Holdings said.

HACH plans to utilise the fresh investment to build its presence in the physical rehabilitation and recovery through its service range of home ICUs, inpatient rehab in transition care centres, digital and home rehab and rehab equipment. HCAH’s elderly care services include long term nursing, palliative and attendant care services. It is also one of the largest players in the chronic disease management segment where it does services including screening, diagnostics, patient support, adherence programs in association with leading pharmaceutical companies.

“India has only one bed per 1,000 population and hence transition care beds and home care are an essential need for recovery and rehabilitation, especially after acute intervention in a hospital. Over 20% of Indians suffer from NCDs (non-communicable disease) which translates to 60% of deaths being caused due to NCDs in India. India has 14 crorex elderly people, the second largest in the world. All this means that there is an urgent need to invest in innovative solutions to address these challenges”, Vivek Srivastava, Co-Founder and CEO, HCAH said.

Incidentally, HCAH’s contracts with the governments of Delhi, Punjab and Karnataka have seen the company handling home care services to nearly 10 lakh Covid-19 patients with almost 97% recovery rate during the pandemic. Over 50 pharmaceuticals companies, major hospital chains, insurance companies, and leading corporates have partnered with the company to offer its services to their employees and clients.

“By providing quality out-of-hospital care to patients at home, HCAH contributes to the quality and access of health services by ensuring the continuum of care while easing the burden on the existing healthcare system. The positive impact it creates on both individual and systemic levels closely aligns with ABC’s key investment theme of ensuring better healthcare for all. The Covid-19 pandemic has further highlighted the need to augment the conventional hospital-centric healthcare model with convenient and clinically focused care outside of the hospital. We look forward to supporting HCAH as it continues on its mission to enhance access and quality of healthcare in India,” Sugandhi Matta, Chief Impact Officer, ABC said.

A FICCI and KPMG report titled 'Covid-19 Induced Healthcare Transformation in India' had pointed out that the Covid-19 crisis proved to be a catalyst for increased adoption of remote care and digital healthcare systems across the globe.