Tencent, Hillhouse join $500m round for Chinese healthcare unicorn DXY

DXY.cn, a Chinese healthcare community platform, announced that it has secured US$500 million in investment in a round led by Trustbridge Partners.

Tencent and Hillhouse Capital’s GL Ventures also participated in the funding round.

Photo credit: DXY

In the past 20 years since its inception, DXY has built an online forum, launched its mobile apps, and set up its wholly-owned clinics.

The platform provides services that include information-sharing and data collection and management. It also connects hospitals, physicians, researchers, patients, pharmacies, and insurance firms.

With the new funds, the company plans to strengthen the synergy between the support it provides to physicians and the services it offers to consumers, its two pillar channels, said DXY founder Tiantian Li.

The company claimed to be among the first to launch a real-time Covid-19 tracker at the onset of the viral outbreak. It also rolled out services such as free online diagnosis and Covid-19-related online courses, among others.

In April 2018, the firm raised over US$100 million in a series D fundraising, which put its value at over US$1 billion. Additional backers included Shunwei Capital and DCM China.

The Chinese healthcare market is growing, especially with people shifting to online consultations with their doctors amid the pandemic. It’s expected that China’s online healthcare market will reach 90 billion yuan (US$13.7 billion) this year.

Major players in the space include the Hong Kong-listed Ping An Good Doctor and Chunyu Yisheng, with the latter completing an undisclosed amount in a strategic round from Chinese search engine Sougou in March, as well as a series E round in September this year.

Currency converted from Chinese yuan to US dollar: US$1 = 6.53 yuan.