Telehealth platform Eucalyptus has raised $22.3 million in Series B funding to build a digital health portfolio for primary care in Australia.
Newview Capital led the round with participation from existing investors Blackbird Ventures and W23, and new investor Airtree Ventures. As part of the investment, Ravi Viswanathan, Founder and Managing Partner of Newview, Eucalyptus will join the board.
The new round sees the Sydney-based company raise a total of $32.8 million since it was founded in 2019 by Tim Doyle, Benny Kleist, Alexei Mitko and Charlie Gearside.
Australia’s healthcare system is a two-payer model, where most care is paid for by the government, and there is a small amount of insurance coverage that is owned by individuals. Eucalyptus fits into these models as a private-payment option selling directly to consumers. Doyle told ClearTips that in some cases, the company has been able to charge fewer copies than the average $25 per doctor for care.
He describes the company as “the largest vertically integrated telehealth platform in Australia”, serving more than 200,000 patients across four demographic-focused brands: contraception and fertility, skin care, men’s health and sexual wellness. Each brand has its own core platform of partnerships with healthcare providers, patient data repositories, remote monitoring tools and pathology labs and pharmacies.
Doyle said this is all a result of a high tactile and high quality relationship between doctor and patient.
“We are seeing an opportunity to reduce the amount of time between the identification and diagnosis of a condition,” he said. “We want to go deeper into diabetes, heart conditions and mental health. People are dropping out of diabetes and mental care because there aren’t enough touch points that are easy to access. If we can build a hub, that’s it. Those conditions will become easier to treat.”
In addition to product development, the new funding enables Nilgiris to become a major player in the telehealth industry. Next year, the company will introduce new brands for chronic care such as behavioral health, weight management and diabetes.
Doyle said Nilgiris has grown its revenue by between 200% and 300% year-on-year since 2019. This is not unlike other startups in the digital health sector, where 2020 saw another record year for venture capital investments. He expects similar growth in 2021, which includes adding about 20 employees to more than 100 by the end of the year.
In the meantime, Doyle said he is excited to be working with Newview, especially with Viswanathan and colleague Christina Fa, who said eucalyptus is proving Australia can take the lead in digital healthcare.
“The team is impressive in terms of clarity of vision and execution, especially the way they brought people in to manage brands,” she told ClearTips. “It’s unique in Australia where they don’t have Teledox and other digital health companies. Instead, Eucalyptus had to build all that in-house and do the hard work beforehand. Plus, they’ve built a network of health providers and four brands.” Crafted, each of which has its own personality that can be fully integrated and own the customer journey.”