Bengaluru: After acquiring BigBasket and announcing an investment in fitness startup CureFit, the Tata Digital Ltd – a subsidiary of Tata Sons Private Limited – on Thursday made a big announcement to buy a majority stake in digital health company 1MG, the latest in a series of investments that Tata Group has made as part of a strategy to build a super app.
“The investment in 1MG strengthens Tata’s ability to provide superior customer experience and high quality healthcare products & services in e-pharmacy and e-diagnostics space through a technology-led platform,” said Pratik Pal, CEO of Tata Digital in a release.
The Tata Sons’ subsidiary, earlier this week, announced its investment of $75 million in CureFit and onboarding of Mukesh Bansal as President.
Tata Digital also added that e-pharmacy, e-diagnostics, and teleconsultation are critical segments, and will form a key element of the digital ecosystem it is building.
Pratik Pal, chief executive officer (CEO) of Tata Digital said, “The investment in 1MG strengthens Tata’s ability to provide superior customer experience and high-quality healthcare products and services in the e-pharmacy and e-diagnostics space through a technology-led platform.”
Incorporated in 2015, 1MG provides online delivery of medicines, health and wellness products, diagnostics services, and teleconsultation to customers.
“We are delighted to join hands with one of India’s most iconic and respected conglomerates. This marks a significant milestone in 1MG’s journey to make high-quality healthcare products and services accessible to customers across India,” said Prashant Tandon, co-founder and CEO, 1MG.
Founded in 2015, 1MG operates three diagnostics labs and has a supply chain covering over 20,000 pin-codes across India. 1MG is a player in the eHealth space and enables easy & affordable access to a wide range of products like medicines, health & wellness products, diagnostics services and teleconsultation to customers. Through its subsidiaries, the company also engaged in business-to-business (B2B) distribution of medicines and other healthcare products.
Earlier in May, Tata Digital announced the purchase of a majority stake in online grocer BigBasket, and had committed an investment of ₹1,591 crore ($219 million) in the online grocer, show regulatory filings.
Tata Digital has been steadily building its super-app, under Tata Digital, with plans to add categories such as groceries, health, education, entertainment, electronics, fashion, travel, beauty and lifestyle. It also plans to leverage the strength of group companies such as Titan, Voltas, Trent, Tata Consumer Products, Tata Motors, Vistara, Tata AIG, Tata Capital and Taj Hotels, offering users an array of services in one app.
Last year, even Reliance Industries Limited (RIL) entered the e-pharmacy space and bought a controlling 60% stake in Vitalic Health Pvt. Ltd., parent of e-pharmacy Netmeds for approximately ₹620 crore in September.