Medi Assist Raises ₹198 Crore from MIT and Affiliate to Boost Digital Health Innovation

In a significant development for India’s digital healthcare sector, Medi Assist Healthcare Services Ltd announced that it has raised ₹198 crore through a preferential allotment of equity shares to the Massachusetts Institute of Technology (MIT) and 238 Plan Associates LLC, an affiliate of MIT. The investment strengthens the company’s capital base and supports its mission to drive innovation through technology and AI-led healthcare solutions.

The company’s Fund Raise Committee approved the allotment of 37,01,000 fully paid-up equity shares, each having a face value of ₹5, issued at a price of ₹535 per share, which includes a premium of ₹530 per share. The total fund infusion aggregates to ₹198,00,35,000.

MIT and Affiliate Invest ₹198 Crore

As part of this preferential issue, MIT received 28,90,830 shares valued at ₹154.66 crore, while its affiliate, 238 Plan Associates LLC, was allotted 8,10,170 shares worth ₹43.34 crore. This marks a strong vote of confidence from globally reputed institutions in Medi Assist’s business model and technological focus.

The company confirmed that it received in-principle approvals from NSE and BSE on October 3, 2025, for the preferential issue. The newly allotted shares will rank pari-passu with existing equity shares and will be listed on both exchanges after final listing and trading approvals. The shares will also be subject to a mandatory lock-in period, in accordance with the regulatory norms.

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Shareholder and Board Support

Medi Assist stated that the preferential issue was unanimously approved by the Board of Directors on August 7, 2025, and was backed by 99.15% of shareholders at the Extraordinary General Meeting (EGM) held on September 4, 2025. This overwhelming approval reflects strong investor confidence in the company’s long-term strategy and financial discipline.

Following this allotment, Medi Assist’s paid-up equity share capital increased from ₹35.32 crore to ₹37.17 crore, raising the total number of shares from 7,06,49,862 to 7,43,50,862.

Strengthening the Digital Healthcare Vision

According to the company, this strategic investment is a reaffirmation of its commitment to lead India’s digital health transformation. Medi Assist aims to enhance its AI-driven health benefit solutions and improve healthcare accessibility, transparency, and efficiency.

The company noted that the fresh capital infusion will further strengthen its balance sheet and support long-term innovation. This follows a period of active expansion for Medi Assist, which recently acquired Fairfax-owned Paramount Health Services & Insurance TPA Pvt. Ltd. in July 2025. The company also announced a technology collaboration with Star Health Insurance in June 2025, signaling its growing partnerships within the health insurance ecosystem.

CEO Speaks on the Company’s Growth Outlook

Satish V. N. Gidugu, Chief Executive Officer of Medi Assist, highlighted the company’s focus on technology and innovation.

“Technology remains at the core of our operations, enabling us to make healthcare simpler, faster, and more transparent,” he said. “We are steadfast in our commitment to accelerate innovation in AI-led health benefit solutions that improve member experience and payer outcomes, elevating healthcare access for millions.”

His statement underscores the company’s focus on integrating artificial intelligence into its core operations to enhance user experience and optimize claim management processes.

Market Response and Outlook

Following the announcement, shares of Medi Assist Healthcare Services Ltd closed at ₹529.85 on the BSE, up ₹0.65 or 0.12%. The market’s positive response reflects investor optimism about the company’s growth prospects and its ability to attract reputed global investors.

With MIT’s backing, Medi Assist is expected to further accelerate its push into AI-driven healthcare services and digital transformation initiatives. The fresh capital provides a solid foundation to expand its reach, develop advanced technology platforms, and deliver seamless health benefit administration across India.

As Medi Assist continues to focus on innovation and partnerships, this strategic investment marks a major milestone in its journey to redefine digital healthcare in India.

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