01 March 2024 – In a strategic move aimed at achieving profitability and gearing up for an initial public offering (IPO), Pristyn Care, a prominent health tech unicorn, has undertaken a workforce reduction of seven percent. The restructuring, impacting 120 employees, primarily in entry-level and support functions, aligns with the company’s plan to turn profitable in FY25 and go public by 2027.
Company Overview:
Founded in 2018 by Harsimarbir Singh, Dr. Vaibhav Kapoor, and Dr. Garima Sawhney, Pristyn Care has emerged as a key player in the health tech sector. The company specializes in providing secondary care surgeries, leveraging a vast network comprising over 200 clinics, 700 hospitals, and a team of more than 400 in-house super-specialty surgeons. Its operations span 30 cities across India, and the company has successfully raised $177 million through multiple funding rounds.
The restructuring move impacts 120 employees, with a predominant focus on entry-level and support functions. Pristyn Care aims to achieve profitability in the fiscal year 2025 and subsequently pursue an IPO in 2027. The affected employees will receive a severance package based on their notice period, and the company has expedited the vesting of their Employee Stock Ownership Plans (ESOPs). Additionally, medical insurance coverage for the impacted employees and their families will be extended for the next six months.
Strategic Shift Towards Profitability:
In alignment with its profitability objectives, Pristyn Care has strategically exited from six cities that did not contribute significantly to the business. Furthermore, the company has streamlined its offerings by discontinuing three redundant categories, redirecting its focus toward 20 larger and more profitable ones. This transformative journey underscores Pristyn Care’s commitment to operational efficiency and sustained growth.
Pristyn Care reported a consolidated total income of ₹494 crores in FY23, marking a substantial increase from ₹339 crores in the previous fiscal year. With an ambitious revenue target of around ₹900 crore for the ongoing fiscal year, the company aims to reduce EBITDA loss by 50 percent.
Conclusion:
Pristyn Care’s strategic workforce reduction reflects a decisive step towards achieving financial stability and paving the way for an IPO in the coming years. The company’s commitment to enhancing operational efficiency and patient care remains at the forefront of its transformative journey. As Pristyn Care redefines its focus and exits non-contributing areas, the health tech unicorn positions itself for sustained success and growth in the dynamic health tech landscape.
