Revolutionizing Healthcare Through Innovation: The 2070 Health Venture Studio
The landscape of healthcare is rapidly evolving thanks to technology-driven innovations.
Concepts like e-pharmacies and teleconsultations have become integral parts of the medical landscape.
However, despite these remarkable strides, significant gaps persist in critical areas such as pain management, pediatrics, and oncology.
This realization spurred the visionary minds of Dr. Pankaj Jethwani (CEO) and Sunil Wadhwani (Chairman) to launch a groundbreaking venture studio dedicated to creating new healthtech companies.
Established in 2022, this enterprising initiative has already secured a substantial $30 million funding injection from the healthcare-focused VC fund W Health Venture in June of this year.
For Dr. Pankaj, the driving force behind 2070 Health, the approach is refreshingly bottom-up. The core philosophy revolves around crafting innovative healthcare ventures from the ground up.
Rigorous research precedes the formation of a targeted concept, which is then matched with a founder capable of executing the vision. This meticulous approach is underpinned by a talent hunt that seeks experienced professionals willing to embark on an entrepreneurial journey.
Despite the considerable advancements in healthtech, Dr. Pankaj notes a glaring absence of a healthcare solution as omnipresent as giants like Ola, Swiggy, or Flipkart in the consumer tech sphere. In this gap, 2070 Health discerns a promising opportunity.
Their unique perspective revolves around building healthcare companies with a relentless focus on patient outcomes rather than merely catering to consumer needs. Their incubations are strategically categorized into three segments: Care Delivery Innovation, Enablers, and B2B SaaS.
The venture studio comprises several dedicated teams engaged in rigorous research, identifying pressing healthcare challenges, and honing business models for commercial viability. The studio’s core philosophy involves the relentless pursuit of unaddressed healthcare issues in India.
This commitment has already borne fruit with the incubation of three groundbreaking companies: Elevate Now (India’s first medical obesity management platform), Nivaan (India’s pioneering end-to-end pain management brand), and Reveal Healthtech (a platform for technology and strategy outsourcing to global healthcare systems and startups).
As the journey unfolds, Pediatrics emerges as the next frontier for the fourth studio company, with ongoing research also delving into domains like clinical trials, oncology, and urology.
The studio’s approach to identifying problem statements is grounded in data-backed insights garnered from extensive stakeholder conversations and experiments. Rigorously staged gateways ensure that only the most viable concepts progress, effectively mitigating the risk of startup failure.
Dr. Pankaj elucidates the investment strategy, stating, “Every company has a different capital requirement based on the business model and runway needed to prove Product Market Fit (PMF).
We have committed between $1 million to $3 million in each of the incubations.” The startups cultivated under 2070 Health's umbrella are tailored for India’s needs, either catering exclusively to the domestic market (such as Elevate Now and Nivaan Care) or venturing out to serve global demands (like Reveal Healthtech).
Initial investments vary between $1 million to $1.5 million, allowing for a projected 12-month runway based on the business model's operational costs and burn rate. The remaining funds, $1-$1.5 million, are earmarked for subsequent commitments and follow-on investments.
The true value of the studio stems from its equity ownership in the incubated companies. The upside potential will materialize upon exit, whether through secondary sales, strategic stake sales, or IPOs, set to unfold over a span of 5-7 years.
Ambition fuels 2070 Health's journey, with plans to incubate and nurture 12-15 companies within the next five years.
As healthcare stands on the cusp of transformation, driven by innovation and unwavering dedication, the 2070 Health Venture Studio emerges as a beacon of change and progress in the dynamic realm of healthtech.