With an investment of EUR400,000, Fortech is becoming the largest investor in Telios Care, with an ownership of 9%.
Following the new investment, Telios Care, a startup founded in 2017 by American Philip Choban, is valued at approximately EUR6.3 million. This financing round also marks the official launch of Fortech Investments, the investment division of Fortech Group, which will administer the company’s strategy of investments, acquisitions and partnerships.
“Telehealth is an important field for innovation in healthcare, particularly in Romania and Central and Eastern Europe. Given the evolution of Telios, we believe now is the time to establish a partnership and sustain the company’s growth, especially if we look at the team set up by Philip (Choban, CEO of Telios Care, ed.) and its innovation objective to leave its mark on this promising field of activity”, said Valentin Filip, Managing Director, Product Investments, Fortech.
With the new financing round, current investors also increased their ownerships, investing EUR180,000 in Telios Care. Also, the company has managed to raise an additional EUR120,000 from new investors.
Telios Care currently is a joint-stock structure made up of both founders and investors, among which investors from Transylvania Angels Network, Growceanu Angel Investment and Tech Angels, with the three organizations getting actively involved in raising the new financing and supporting the healthcare industry and the digitalization process.
Telios Care will use the new funds to speed its growth plans both in Romania and in the region.
In 2020, Telios Care saw tenfold increase in the number of users of telehealth services, ending the year with 75,000 beneficiaries working in the fields of retail, IT, financial services, manufacturing, transport and agriculture. The company expects the number of patients to double in 2021, by including Telios services in insurance and medical subscription products, as well as through direct sales at companies.
In 2020, Telios Care added six medical specialties in its portfolio, namely, Otolaryngology, Endocrinology, Rheumatology and Urology, Nephrology, Diabetes and Metabolic Disorders. It also added a third line of medical consultations, via video calls, (besides the telephone line and the online text messaging line) and included the possibility of generating medical referrals recognized by insurers for blood test and imaging services.
According to consulting and research firm Fortune Business Insights, the global telehealth market was valued at $41.6 billion in 2019, with an increase of over 90% in 2020, under the impact of the COVID-19 pandemic. In the next seven years, the market is expected to see an annual growth of over 25%, from $79.79 billion in 2020, to $396.7 billion in 2027.