In early July, Japanese investment group SPARX announced its $600,000 co-investment deal into Myanmar telemedicine firm MyanCare. This makes MyanCare the fifth SME from the second cohort of OTW Myanmar’s business accelerator program to receive capital from institutional financers.
The partnership between SPRAX and MyanCare is not new; the investment group invested in the healthtech company since its pre-series a round back in 2019. During this second round, SPARX brought along two strategic partners: Japanese IT firm Scala Inc., and AIN Holdings, one of Japan’s major pharmacy chains.
According to Zaw Min Tun, the co-founder and CEO of MyanCare, the deal represents the investors’ first investment in a Myanmar SME. “I highly encourage Myanmar startup founders to study up on the investment process and look beyond investors who are currently active in Myanmar,” says Zaw Min. The company has also made alliances within Myanmar’s newly opened insurance sector, collaborating with Prudential Myanmar earlier in the year to provide access to its telehealth services to 5000 families under the ‘PRUCare’ program.
Since Myanmar’s first confirmed case of COVID 19 in late March, many have turned to MyanCare’s medical teleconsultation app and YinThway, its pediatric call center arm, to consult with doctors virtually. Zaw Min Tun notes that the market’s attitude towards telemedicine has shifted since the pandemic, which in turn increased the company’s valuation. The co-founder also expects more competition in the near future as more players are expected to enter the market in light of the pandemic.
The investment of $600,000 will be used to further boost MyanCare’s position in the market as well as strengthen and expand its service offerings. In order to increase its social impact and reach underserved populations in remote areas, the company also hopes to provide its services in ethnic languages and employ more ethnic doctors once the political barriers to enter such regions are lowered.