China-based InsurTech startup Waterdrop has reportedly raised over 1bn RMB ($144m) in its Series C round, just months after closing its Series B on $74.2m.
The new investment round was led by China-focused private equity firm Boyu Capital, with participation also coming from Gaorong Capital, CICC Capital and Tencent, according to a number of reports in the medial.
Proceeds from the Series C have been earmarked to establish a new specialised team to focus on healthcare insurance and the integration of new technologies, they report. Some of the new technology it is exploring include the deployment of AI-powered tools.
Waterdrop operates in three different business areas including, Waterdrop Crowdfunding, Waterdrop Mutual and Waterdrop Insurance.
The company’s internet insurance platform has collaborated with more than 50 other insurance companies from around the world and has launched over 60 products. Waterdrop Insurance’s platform has over 10 million users according to an official release.
Waterdrop’s other business arm provides a crowdfunding platform for people needing financial support for the treatment of major illness. The business also offers an internet-based mutual support platform with over 75 million users.
Its former round closed in April on RMB 500m (74.2m) following contributions from Tencent, Banyan Capital, IDG Capital, BlueRun Ventures, and Sinovation Ventures.
China’s FinTech sector has shot up in 2018 with the total investment volume reaching $20.5bn, according to FinTech Global data. The amount of funding was 6.6-times bigger than the amount invested during 2017.
However, the huge jump in funding was largely down to Ant Financial which has raised $14bn in a Series C round.
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