Bengaluru-based managed care company Even Healthcare has raised $50 million in a Series B funding round led by existing investor Khosla Ventures, with participation from Alpha Wave. The round triples the company’s valuation from its previous fundraise 18 months ago, taking its total funding to more than $120 million. Even will use the capital to open five hospitals across Bengaluru over the next six months.
"Most healthcare companies optimise one piece of a fragmented system. Even is attempting something much more ambitious: integrating the financing, technology and delivery of care so that the system is rewarded for better health outcomes rather than greater utilisation,” said Vinod Khosla, founder of Khosla Ventures. “The clinical and economic results so far give us conviction that this can become an important new model for healthcare in India and beyond.”
For most Indian families, hospital visits bring uncertainty: patients repeat their medical history, struggle to judge whether tests or surgery are necessary, face unpredictable bills and receive little support after discharge. The problem is structural: much of the private system earns more by doing more, with no one responsible for patients between visits.
Even members have one care team that knows their history and intervenes before problems escalate. It provides cashless hospital care through doctors with no financial incentive to recommend unnecessary procedures and follows up until recovery is complete.
"We stay with our members from their first consultation to the hospital bed and back home, and our economics depend on keeping them healthy,” said Mayank Banerjee, co-founder of Even Healthcare. “Two hospitals profitable in record time and readmissions below 1 per cent tell us the model works. This round is about building it at the scale of a city: an Even hospital close to every family in Bengaluru, and then in every major city in India."
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Even’s model is built around different incentives. It says it is India’s only private hospital chain where doctors are not paid based on the number of procedures they perform or the revenue they generate. Instead, they are assessed on patient outcomes, recovery times and readmissions. An AI quality system reviews every case against clinical protocols in real time, allowing problems to be identified while patients are still in Even’s care.
The first full year of managed care shows the model working. In programmes run with insurance partners, unplanned readmissions stayed below 1 per cent, against an industry range of 8 to 15 per cent. Average hospital stays were 40 per cent shorter. Proactive care kept more than 200 members out of hospital altogether, saving patients an estimated Rs 15-16 crore.
Even is now moving this model from single facilities to a network that covers the city. Both of its existing hospitals reached operational profitability in record time. Five more will open across Bengaluru over the next six months, starting with Indiranagar. The goal is to put an Even hospital within five kilometres of every member in the city, and then to bring the same model to India's other major cities.
Even now serves more than 2.5 lakh members across 10 cities and has tripled its membership over the past year.