W Health Ventures set to close $100 mn fund II for early-stage bets-OxBig News Network

The new fund will continue to back startups at the seed and Series A stages, with cheque sizes of $1 million-$5 million and will participate in larger rounds with co-investors.

“W Health Ventures is at a pivotal stage in its growth. We are currently raising our fund II, and in the coming weeks, we will share updates on the fundraise and key leadership appointments made over the past year,” W Health’s managing partner Pankaj Jethwani said in response to Mint’s queries.

W Health’s new fund is a positive development for early-stage deals as funding softened to $3 billion in 2024, down from $4 billion in the previous year, according to estimates by Tracxn.

The firm will also make Series B investments “selectively” with emphasis on healthcare businesses that are being built for both domestic and global markets. “The upcoming fund will continue our focus on early-stage healthcare innovation. We will also selectively back Series A and B companies that align with our thesis,” Jethwani added.

“Our core thesis remains consistent: to build generational healthcare companies from scratch in India and beyond. The company creation model demonstrated strong results in Fund I, and we look forward to extending that approach through Fund II.” A company creation model is a mix of investing in and incubating companies through its venture studio.

The firm, founded in 2019 by Sunil Wadhwani, mostly backs single-specialty healthcare delivery and AI-enabled services.

Its India portfolio includes diabetes management platform Wysa Health, healthcare-focused venture studio 2070 Health, and sexual health and wellness provider Good Health Company. In the US, it has backed seven companies, including AI-led mental health startup Wysa and cancer support program Jasper.

Senior exit

Meanwhile, Namit Chugh, a principal at the firm, has resigned from the post and is currently serving his notice, according to the two people quoted above.

W Health’s Jethwani confirmed the development.

Chugh served the role for a little over four years and is counted among the early members of W Health. Prior to joining W Health Ventures, he worked as an associate at Lok Capital (backer of Akshayakalpa Organics and Mintifi), where he made investments across sectors. He has also worked with consulting firms such as Alvarez & Marsal and PwC in the past and focused on strategy and commercial due diligence assignments for private equity clients.

Chugh’s move comes at a time when the venture capital ecosystem is witnessing a churn. While some senior fund managers are moving out to set up their own ventures, others are looking for better titles and pay.

In February, Peak XV’s managing directors Abheek Anand and Shailesh Lakhani left the venture capital firm, almost two years after it broke ties with its US partner Sequoia Capital.

In November last year, early-stage firm 100.vc’s co-founder and partner, Shashank Randev, quit to form his own venture, 247VC. Raj Dugar, managing partner at Eight Roads Ventures, also stepped down last year following a 17-year stint.