PolicyBazaar parent PB Fintech's new venture raises over Rs 1,850 crore in funding to set up hospitals

PB Healthcare Services Private Limited (PB Health), a newly launched venture by insurance aggregator PB Fintech, has raised $218 million (or around Rs 1,850 crore) in a seed funding round led by global investment firm General Catalyst.

The round also saw participation from PB Fintech itself and several undisclosed external investors. This marks one of the largest seed-stage raises in India's healthtech space.

Founded in January 2025, PB Health will use the capital to set up four to five hospitals in and around New Delhi by 2027 and invest in product development and technology innovation. The company aims to develop a tech-enabled, cashless healthcare platform that bypasses legacy inefficiencies by offering seamless care experiences, eliminating pre-authorisation bottlenecks, and ensuring faster insurance claim processing.

"We are very excited to partner with General Catalyst in building the next chapter of healthcare in India," said Yashish Dahiya, Chairman and Group CEO of PB Fintech.

"Our focus remains on building a tech-first healthcare platform that improves outcomes, enhances trust, and redefines the care journey for millions across India."

Planning to operationalise a 1,000-bed hospital network

The company plans to operationalise a 1,000-bed hospital network in Delhi NCR before expanding into other regions in phases. According to Dahiya, the long-term roadmap includes scaling to 25–30 hospitals across 10 cities. PB Fintech has already committed approximately $62 million to the venture, acquiring a 26% stake in PB Health.

The seed funding round includes a $50 million investment from General Catalyst, a Silicon Valley-based investor known for backing high-growth Indian startups such as Zepto, Cred, and Spinny.

Rising interest in the healthcare sector 

The announcement comes amid surging investor interest in India's healthcare sector. According to an EY-IVCA report, Indian healthcare attracted 84 private equity and venture capital deals worth $3.2 billion in 2024, following $5 billion in deal activity across 62 transactions in 2023.

"We believe India has a unique opportunity to leapfrog legacy models and build a resilient, inclusive health assurance system—one that makes care more proactive, affordable, and accessible," said Neeraj Arora, Managing Director at General Catalyst.

"Yashish has already built one of India's largest insurance platforms and is uniquely positioned to deliver impact at scale for the country's middle class."