Indian technology start-up NirogStreet raises $4m amid expansion push

Indian technology start-up NirogStreet has raised $4 million in its latest funding round led by CE-Ventures, the venture capital arm of Sharjah-based conglomerate Crescent Enterprises, and Japan’s investment firm ICMG Partners.

The company will use the new funds to expand its operations in the Middle East and North Africa region and to “innovate service and product offerings for Ayurvedic doctors and to scale up and strengthen operations”, NirogStreet said in a statement.

Founded in 2016, the New Delhi-based start-up is one of the world’s fastest growing technology-led Ayurvedic platforms. According to the company, it offers access to more than 50,000 Ayurvedic doctors on its peer-to-peer learning channel, electronic health record and business-to-business e-commerce platform.

Ram N Kumar, founder and chief executive of NirogStreet, said more people are turning to Ayurveda for preventive health care.

“We are confident that our continuous efforts in mainstreaming Ayurveda have started conversations, rebuilt perceptions and offered reassurance that this most effective and ancient medicine is a gift from India to the world.

“We are preparing ourselves to become the world’s fastest-growing healthcare company … with visionary investors on board, we are rapidly moving towards our goal of transforming the global healthcare landscape.”

Ayurveda is an ancient Indian system of medicine that comprises spices, natural herbs and plant-based medicines.

The system's market size is projected to reach $21.1 billion by 2028, growing at a compound annual growth rate of more than 15.6 per cent from $6.5bn in 2020, reported business intelligence firm Verified Market Research.

With the new funding, NirogStreet is aiming to boost its presence and bridge the gap between Ayurvedic doctors, patients and quality medicines, the company said.

It “eyes expansion into the Mena region leveraging the region’s fast growth that is driven by a high level of digital connectivity and a large and young tech-savvy population”, it added.

CE-Ventures is looking to form a fruitful partnership that will champion the growth of NirogStreet both within India and outward into the Mena region, said deputy chief executive and head of investments at Crescent Enterprises Tushar Singhvi.

“We are excited to embark on this journey with NirogStreet. The company has demonstrated the immense value and opportunity within the Ayurvedic market, which is projected to reach $9.5bn by 2024, as well as the limitless possibilities that tech-enabled solutions can offer,” Mr Singhvi said.

The venture capital firm has invested Dh580m ($158m) across 43 start-ups and venture capital funds globally. Last year, it announced its plans to increase its investments in start-ups to Dh1bn ($272m) by 2022.

Some of its portfolio companies include Kitopi, the world’s leading managed cloud kitchen; FreshtoHome, India’s largest seafood and meat e-commerce delivery platform; and Tarabut Gateway, Mena’s largest open banking platform.