Wearable startup Ultrahuman has raised $35 million in Series B funding comprising equity and debt from Blume Ventures, Steadview Capital, Nexus Venture Partners, Alpha Wave Incubation and Zomato founder Deepinder Goyal, the company announced on Wednesday. Ultrahuman said it will deploy the funds towards building further manufacturing capacity and deeper research in the health tracking space.
“This funding round marks a pivotal step forward in our journey to dominate the smart rings space, bringing us closer to our goal of being the market leader” said Mohit Kumar, Co-founder, Ultrahuman.
The company makes Ring Air – a compact smart ring that monitors your sleep, movement and recovery apart from glucose monitoring wearable M1 Live, a home health device called Ultrahuman Home and a preventive blood testing product called Blood Vision.
Ultrahuman integrates data around glucose, sleep, movement, blood markers, and HRV for comprehensive health monitoring.
The company said it has become the second-largest player in the smart ring market in the past 12 months while maintaining profitability. Ultrahuman has over 150 retail outlets across multiple locations including London, Singapore, and Dubai.
According to the company, it would surpass $100 million in annualized revenue run rate (ARR) profitably by the end of 2024. “Our ability to make long-term manufacturing investments, supported by our profitability, is unique in the smart rings market,” said Kumar.
The latest round brings the total funds raised by the company to around $60 million. Before this round, according to the data platform Crunchbase, the company had raised $25.1 in three rounds.
Ultrahuman had acquired wearables company LazyCo for an undisclosed amount in April 2022.
According to International Data Corporation’s (IDC) India Monthly Wearable Device Tracker, the India wearable market grew 34 per cent to a record 134.2 million units in 2023 even as the average selling price (ASP) of overall wearables declined by 15.4 per cent from $25 to $21.2 in fourth quarter of 2023.
Moreover, more than 1 lakh smart rings were shipped in 2023 with an ASP of $171.6, said IDC citing Ultrahuman as the leader with 43.1 per cent market share in Q4 followed closely by Pi Ring at 42.3 per cent market share. Aabo was in third place with a 7.9 per cent share in the same period.