Singapore-based employee wellness benefits platform CXA Group (CXA) on Wednesday announced that it has raised fresh funding from Thai HR solutions provider Humanica, and HSBC Life (International) Ltd, an indirect wholly-owned subsidiary of banking group HSBC Holdings plc.
With this latest capital injection, Humanica, in particular, has doubled its investment in CXA as a continuation of last year’s convertible note bridge financing, CXA Group said in a statement.
The startup had previously raised $58 million in total funding from Series A, Series B, and a convertible note round in 2015, 2017 and 2019, respectively.
“The follow-on investment reflects Humanica and HSBC Life’s confidence in CXA’s long-term growth opportunity. It also further backs our unique ability to shift healthcare spend from treatment to prevention, while keeping costs under control,” CXA Group chief executive officer Rosaline Chow Koo said.
The latest funding comes after CXA registered revenue growth of 50 per cent in 2019.
In addition to the funding, CXA also signed a Memorandum of Understanding (MoU) with Humanica to integrate its human capital management platform with CXA’s platform in Thailand. The partnership marks CXA Group’s expansion into Thailand.
The collaboration brings a combined digital HR payroll and employee benefits offering to better serve Humanica’s 3,000 local enterprise customers and their 700,000 employees, it added.
The latest collaboration agreements are outcomes from the expansion of CXA’s business strategy to develop an enterprise-grade software solution and enhance technical capabilities during the past 12 months, the company said.
As part of its efforts to expand bancassurance offerings, the statement noted, the latest funding will help CXA further customise its platform to be used separately by each bank in the Asia region.
“We have built the CXA platform to directly integrate the entire healthcare spectrum, from insurance, telemedicine, e-pharmacy, in-clinic consultations, dental and health screenings to wellness offerings like fitness classes and mental health, with a proven model that delivers cost savings for employers by eliminating intermediaries like agents or third-party administrators (TPAs),” said Koo.
CXA partnered with ThoughtWorks in January 2019 and established a technology hub in Vietnam.