American supplier of on-demand software and e-commerce services Ebix has acquired Bangalore based Healthcare Magic, an online medical advisory services firm which would now provide an internet (B2C) platform to Ebix to expand its customer base. The deal sees Ebix acquiring 100% stake from the existing shareholders of HCM which includes Accel's 26% stake. The total deal value will be maximum $18.5 Mn where upfront payment will be $ 6 Mn and contingent earn out payment for maximum $12.5 Mn.
Funded through internal accruals the buy also opens up the consumer channel for Ebix's various services and stregthens the company's health and wellness portfolio of services for B2B clients. The firm @Rx_HealthCare Private Limited has an online network of approximately 15,000 general physicians and surgeons spread across 50 specialties including alternative medicine. Post the deal Ebix will integrate the services into its A.D.A.M. Health Division.
A.D.A.M. is a business unit of Ebix focused on providing multimedia health content to websites, consumer health portals, healthcare, biomedical, medical device, pharmaceutical, and academic organizations.
Ebix, Inc. (Ebix) is an international supplier of software and e-commerce solutions to the insurance industry providing a series of application software products for the insurance industry ranging from carrier systems, agency systems and exchanges to custom software development for all entities involved in the insurance and financial industries.
With 35+ offices across Australia, Brazil, Canada, India, New Zealand, Singapore, the US and the UK the company claims to conduct in excess of $100 Bn in insurance premiums on its platforms.
Established in 2008, HealthcareMagic is a consumer-driven healthcare platform that connects doctors and patients online. The Company functions primarily as a marketplace for medical advice and patient doctor engagement. It leverages its fast-growing network of practicing global doctors who supply answers to online patient queries, as well as its international patient traffic (currently numbering 3 million every month) who post medical queries that are typically answered within a few hours of posting. Consumers can access the service on per usage or subscription based approach. Its user base spans across the world, with 70% of its users coming from the United States.
It also serves B2B segment by offering the service to employers, who in turn offer it to their employees as a part of the Health and Wellness package. Vodafone, HSBC, McAfee, Akamai, Sapient, ICICI, Airbus, Bajaj and BMW are some of the companies availing the service.
Accel had invested $2.9 Mn in 2009.
Axis Capital Limited (IB) was the advisor to Healthcare Magic.
Recent deals in this space; Hyderabad based @e_Health_APvt Ltd owned eVaidya.com has raised R3.5 Cr from new as well as existing investors; OurHealthMate, an online healthcare service provider had raised $440K in seed round led by Bimal Shah, along with participation from Benjamin Tsai, Ben Ball, and other angel investors; Medypal.com, an online healthcare service provider had raised around $400,000 in seed funding from Unitus Seed Fund