Curefit Healthcare secures $145 million in a round headed by Zomato & Others

Curefit Healthcare Pvt. Ltd., which runs the fitness platform Cultfit, has secured $145 million in a round headed by Zomato.

According to regulatory records collected from business intelligence platform Tofler, Accel, South Park Commons, Singapore-based investment company Temasek Holdings Ltd, a few individuals, and Curefit's co-founder Mukesh Bansal all participated in the fundraising. Zomato invested $100 million as part of a $1 billion investment strategy in startups. Bansal, who previously launched the online fashion shop Myntra, put $5 million into the venture.

Curefit's market capitalization has risen to $1.5 billion from $800 million in March 2020.

Tata Digital Ltd., a wholly owned subsidiary of the Tata Group, signed a memorandum of understanding with the company in June to invest $75 million.
Bansal, who was also the CEO of the Bengaluru-based business, joined Tata Digital as president as part of the purchase.

Bansal and Ankit Nagori, a senior Flipkart executive who runs Curefoods, a cloud kitchen startup, established Curefit in 2016. Curefoods was set to raise $30 million in November, according to sources, with the amount potentially rising to $75 million. Curefoods is raising funds at a pre-money valuation of $123 million, according to regulatory documents.

Curefit Healthcare is a holding company for many companies that provide a variety of fitness and health services. Sugar.Fit, a diabetic management and reversal platform, was set to raise $10 million in a seed round led by Curefit in September, and it owns nearly 74 percent of it. The organisation now offers online and offline fitness sessions, as well as doctor consultations, lab tests, and fitness equipment.

Curefit, which is funded by venture capital firms Accel, Kalaari Capital, and Chiratae Ventures, laid off over 10% of its workforce (approximately 800 individuals) and implemented wage cutbacks across the board in May 2020, as its gyms remained closed owing to lockdowns in the aftermath of the Covid-19 outbreak. Curefit laid off another 500 staff in July of last year, as well as departing minor cities and abandoning plans to grow into foreign markets such as the United Arab Emirates. With a digital-first approach and streaming sessions, the company has attempted to move its fitness and club operations online.

The Covid-19 second wave caused it to close its gyms, despite the fact that it had restarted physical operations late last year.

Last year, Bansal and Nagori also launched a major restructure of the company. Curefit had previously stated that its cloud kitchen business would be handled as a separate entity from the rest of the company. Curefoods is the new name for Nagori's company.

Ratan Tata, Chairman Emeritus of the Tata Group, was an early investor in Curefit.

Curefit is the salt-to-software conglomerate's third major startup investment, following BigBasket and 1mg, as it seeks to expand its digital presence against Amazon India, Reliance Industries, and Walmart-owned Flipkart.