Angel investors to earn up to 15x returns from HealthifyMe’s $12m equity buyback

Digital health startup HealthifyMe has announced an equity buyback program worth US$12 million, through which it will return cash to some angel investors and benefit almost 100 of its current and former team members.

HealthifyMe leadership (from left) Sachin Shenoy, Tushar Vashisht, and Anjan Bhojarajan / Photo credit: HealthifyMe

Angel investors like Micromax and TVS Capital Funds managing director Gopal Srinivasan will receive up to 15x returns on their initial investment, the Singapore and India-based startup said in a statement.

Co-founder and CEO Tushar Vashisht said the company will continue to announce more equity buyback programs in the future.

HealthifyMe recently raised US$75 million in a series C round led by LeapFrog and Khosla Ventures in order to widen its footprint in India and Southeast Asia and expand into North America.

The healthtech startup’s app went past the 25-million mark in downloads recently and the firm is on track to hit US$50 million in annual recurring revenue within the next six months. Currently, about 25% of its revenue comes from outside India.

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Indian startups have conducted several equity buyback programs in the past year. The list includes upGrad, ShareChat, Whatfix, Acko, and Licious. Share buybacks are a way of returning money to investors and increasing the equity owned by the company.