Health and fitness app HealthifyMe has announced an equity buyback programme worth $12 Mn (INR 90 Cr). The company will provide liquidity to almost 100 of its key current and former team members through the buyback.
Prominent angel investors like Gopal Srinivasan, MD, TVS Capital Funds, and Micromax are expected to receive almost 15x returns on their investment.
Founded in 2012 by Tushar Vashisht and Sachin Shenoy, HealthifyMe is a health and fitness application that leverages AI to deliver measurable results on eating habits, fitness, & weight by tracking lifestyle, providing access to human coaches, and the AI nutritionist ‘Ria’.
Talking about the equity buyback programme, Vashisht said, “As part of our employee retention program, we are excited to provide liquidity to our teammates who have worked tirelessly through the years shaping our vision to reality. I am sure we will continue to do more of this in years to come as well.”
The equity buyback programme comes on the heels of the startup’s recent fundraise of $75 Mn in a Series C round led by LeapFrog and Khosla Ventures to deepen its presence in India and Southeast Asia and expand into North America.
According to 360i Research, India’s fitness app market was valued at $239.46 Mn in 2020. It is expected to have a CAGR of 26.81% and grow to $996.06 Mn by 2026.
The startup is in direct competition with health and fitness startup Curefit, which also raised $75 Mn in June this year. Besides, other fitness applications startups HealthifyMe competes with include StepSetGo, TWellness App, GOQii, Fittr, and several others.
HealthifyMe claims to have doubled its user base and revenue in the last year despite the pandemic and is potentially on the path to hit $50 Mn ARR in the coming six months.
The digital wellness platform claims to be catering over to 25 Mn users in 300+ cities with over 1500 coaches in India and Southeast Asia. Today, 25% of its revenues come from outside of India.