Sunfox Technologies - Spandan
Initial Ask – Rs. 1 Cr. for 2% equity at a valuation of Rs. 50 Cr.
About the Company
Making ECG systems available like that of thermometer and blood pressure machines, this company has devised Spandan. Spandan is a pocket size ECG device, through which ECG results can be seen by anyone, anywhere on their mobile phones. They have achieved 99.7% accuracy of the results from this product of theirs, which is available online at Amazon, 1 MG and their own website. This device is such that they have no battery, no radiation, no sound and not even any buttons attached. Receiving appreciation from our honorable Prime Minister too, this product has been made from the scratch by this company.
They also have an integration model, where the device is given out for use and is charged on the basis of pay per use, which can be as low as Rs.2 to as high as Rs. 20 per test. This is thee first ever product made in this segment, in the whole world!
Past performance of the Company
They’ve earned Rs. 1.2 Cr from their operations in 12-13 months of their inception. They make regular earnings of Rs. 5 lacs on a monthly basis through online platforms.
Industry Overview
Statistics report that almost 20 lac people die in India, suffering from heart attack. 1 out of 4 people again die due to heart attacks. Another set of stats say that there are about 6 lac villages in India and 87% of them have internet penetration at this date. Still, they don’t have enough medical facilities to be able to detect heart disease at the correct time. This is the problem that this industry is trying to solve.
This ECG device is the first one to come in this space. This industry is not here to disrupt the community of hospitals and doctors. Instead it integrates the patients and the medical staff by letting them conduct ECG frequently. However, this definitely can substitute the Rs. 300 ECG test conducted traditionally by the hospitals.
Previous Equity Split/Investments
They’ve received grants from DST and companies like Byrech, which was worth Rs. 50 lacs. Apart from this, they have raised funds worth Rs. 3.5 Cr. at a valuation of Rs. 18.5 Cr. The equity split was as follows: CEO-36%, CFO-34%, ESOPs-10% and 20% with other investors.
Offers made, and the one accepted:
All 5 sharks namely Peyush Bansal, Ghazal Alagh, Anupam Mittal, Vineeta Singh and Namita Thapar joined hands to offer the team Rs. 1.5 cr. but for 6% of their company. Without any further negotiations, the deal was sealed only.