Singapore healthtech startup CXA Group seeks to raise $50m

CXA founder and CEO Rosaline Chow Koo

CXA Group, a Singapore-based health service backed by Facebook co-founder Eduardo Saverin, is again hitting up investors. Founder Rosaline Chow Koo said her startup intends to start a new round of funding to try and raise at least $50 million at a $250 million valuation.

The goal is still for CXA to achieve profitability mid- to late next year and unicorn status — or a valuation of $1 billion or more — within three years, Koo told Bloomberg’s Sooner Than You Think conference in Singapore. The company is seeking funding in the wake of securing long-term contracts with insurers and other customers, she added.

“We have to go for another funding round,” she told the conference on Thursday. “We’re going back out only because we’ve signed very long-term contracts to actually be white-labeled by these firms globally.”

CXA is the brainchild of Koo, a female entrepreneur who grew up poor in Los Angeles and started the business in 2013 as a personalized employee health and wellness benefits platform. The company now serves more than 600 companies and more than 400,000 employees in 20 countries.

Revenue increased 65% in 2018 and is expected to double in 2019, Koo has said previously. In March, CXA raised $25 million by selling convertible debt to investors including HSBC Holdings Plc, Singtel Innov8 and Telkom Indonesia MDI Ventures. Prior to that, the startup had raised $33 million from two previous financing rounds.

People in Asia are getting hit with chronic diseases earlier than in the West so they need flexibility in how they manage health-care costs, Koo has said. Her company allows employees to shift their traditional insurance money — typically used for illness, injuries or death — to combat these chronic diseases or to get mentally or physically healthier.

CXA then tailors benefits to each individual’s life stage by using machine learning technology. The employees can use their e-wallet in the mobile app to select service providers and spend their allowance instead of getting one-size-fits-all benefits.

Bloomberg

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.