Chinese healthcare platform Dingdang raises $220m from TPG Capital, others

Dingdang Health, an integrated online healthcare platform based in Beijing, China, announced that it has raised $220 million in a funding round led by TPG Capital Asia, one of the first private equity firms to invest in the region.

The latest financing round was also participated by OrbiMed, Review Capital, Valliance, Travis Global Limited, Summer Capital, and Yingke PE.

Dingdang Health said the fresh funding will help it press ahead with its online-to-offline strategy to cover services including medical care, medicine delivery, and medical insurance.

“Riding on the new trend of online medical care and medication services amid Covid-19, we aim at providing all-encompassing online services catering to various needs including consultation, drug purchase, chronic disease management, and psychological consultation through product upgrades and technological innovation,” said the company’s founder and chairman Yang Wenlong.

As a pioneer of online healthcare products and services, Dingdang Health’s online-to-offline model enables it to supply drugs from the pharma manufacturers and offline pharmacies to meet users’ urgent medical needs.

The company has also expanded its business to more areas such as medical care, medicine delivery, and medical insurance. The strategy has helped the platform remain competitive in China’s digital health and wellness market.

Dingdang is backed by investment institutions such as SBCVC, CMBI, CICC Capital，Sinopharm-CICC Capital, Taikang Insurance Group, Longmen Investments, and Haier Biomedical.

TPG, the lead investor in the financing round, is a global alternative asset firm founded in 1992 with more than $91 billion of assets under management. It is one of the early international private equity investment giants that created a dedicated healthcare investment team.

Commenting on the investment, TPG Capital Asia managing director Lydia Cai said Dingdang Health’s business model perfectly combines both digitalization and healthcare.

“Leveraging big data and internet technologies, the company has created a pioneering self-operating model that provides online medical care and medicine delivery services,” she said.

Recently, Alodokter, a digital health platform in Indonesia backed by Golden Gate Ventures and SoftBank Ventures Asia, has raised additional funding to further finance its expansion and the development of new products, according to an announcement.