W Health Ventures announces $70 million fund II to build healthcare startups

Healthtech-focussed VC firm W Health Ventures has launched its second fund with a target corpus of $70 Mn (INR 609 Cr) for its second India-focused fund to back healthcare startups in the country.

W Health Ventures, in collaboration with 2070 Health, will use the fund to build 8–10 early-stage healthcare startups over the next four years, said managing partner Pankaj Jethwani.

They plan to invest ₹26–40 crore ($3–5 million) in each company, with extra funds set aside for future rounds.

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Their model provides startups with support from the ground up—offering funding, infrastructure and hands-on operational guidance.

“The company creation model is particularly suited for healthcare due to the sector’s inherent challenges, such as its slow pace of change, heavy regulation, and complexity,” Jethwani said. “This approach helps founders overcome bottlenecks by leveraging the fund’s data, relationships, playbooks, and teams to build companies from zero to one.”

Fund II will focus on two main areas: single-specialty care platforms and AI-powered B2B healthcare services.

The first will support startups that deliver quality, efficient care in specific medical fields.

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The second will back B2B startups providing tech solutions to US healthcare companies, using India’s clinical and engineering talent. These startups will rely on automation and AI to improve efficiency for global clients.

“AI is no longer optional when building a company, including in healthcare, though it doesn’t always have to be the primary product,” Jethwani said. “The technology is crucial for embedding convenience and high-quality care at every step.”

W Health has started investing from its new fund.

The first investment from Fund II was in EverHope Oncology, which raised $10 million in a seed round led by W Health, along with Narayana Health and 2070 Health.

W Health’s first fund of around $50 million supported startups like Wysa (an AI mental health platform), Elevate Now (a medical weight-loss program), and Kins (a US-based virtual physical therapy service). It also invested in pediatric care and pain management startups.

Founded in 2019, W Health has invested in a range of healthcare sectors, including digital health, chronic disease care and mental health.

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