China-based Weimai’s $155m funding round was one of the quarter’s notable deals.
Healthcare funding for Asia-based companies dropped 39% QoQ to $2.57b in Q2 compared to $4.21b recorded in the previous quarter, data from tech market intelligence platform CB Insights revealed.
North America remained the top-funded region from venture capitals (VC) in terms of healthcare, although funding shrank by 5% QoQ to $8.28b in Q2 from $8.74b in Q1.
Globally, the report found that digital health funding is on the rise for the second straight quarter, with total digital health funding recorded at $3.5b, up 23% QoQ. There were 371 digital health deals compared to 354 in the first quarter.
According to CB Insights, there were four digital health mega-rounds (more than US$100m) recorded during the quarter, one of which was China-based Weimai’s US$155m funding round. The company provides medical services, including online consulting, payment, and appointment scheduling.
Meanwhile, VC-backed digital health deals in Asia inched up to 74 transactions in Q2 from 70 last quarter, although this was lower than Europe and North America’s 78 and 195 transactions, respectively. Digital health deals make up 32% of all VC-deals during the second quarter, according to CB Insights.
The report also highlighted China as having the highest number of digital health deals in the region with 26 transactions, followed by India and South Korea with 18 and 10 transactions, respectively. Japan and Singapore with nine and four deals respectively also made the list.
Meanwhile, the US remained the main driver of North American VC-backed digital health deals, with 186 transactions.
Nine of the global healthcare unicorns are also based in China. WeDoctor led the pack with a total valuation of $5.5b, followed by United Imaging with a $5b valuation and Henlius with a $3b valuation.
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