Haodf Online Secures $200M Series D Funding Led by Tencent, Aims to Integrate Commercial Health Insurance

VCBeat has confirmed with Haodf.com that Haodf.com is currently undergoing$200 millionSeries D Financing, led by Tencent, has been fully received. Wang Hang, CEO of Haodf Online, responded, “I’m still working hard, but Liu Qian closed the deal for me first.” This marks the first officially confirmed financing announcement in the 11 years since Haodf Online was founded.

Haodf.com, a subsidiary of Hu Dong Feng Technology (Beijing) Co., Ltd., was founded in 2006 by Wang Hang. After nearly 11 years of development, Haodf.com has compiled information on 470,000 doctors across China, among whom 130,000 have completed real-name authentication and registration on the platform to provide consultation services to patients.

Since the onset of the capital winter in 2016, the capital market has become increasingly cautious in its valuation of internet healthcare companies. According to the public relations department of Haodf Online, a leading player in China’s internet healthcare sector, Haodf Online has once again garnered investor favor due to its solid operational performance, high-quality product services, and clear strategic direction. Tencent, as the lead investor in this round of financing, highly recognizes Haodf Online’s operational capabilities, business model, market position, and future strategy, and completed its investment in Haodf Online in February 2017.

Last December, the internet hospital jointly established by Haodf Online and the Yinchuan Municipal People’s Government commenced operations, marking its transformation from a medical consultation platform into a genuine medical diagnosis and treatment platform. It has upgraded from traditional online consultation and appointment/referral services to a fully functional internet hospital capable of delivering online diagnosis and treatment.

In the three months since its establishment, Haodaifu Internet Hospital has officially registered 11,500 physicians for multi-site practice, covering all regions across China, and has served 985,000 patients.

Regarding this round of financing, Haodf Online did not disclose further details. Its public relations department stated that Haodf Online has consistently adhered to the principle of avoiding hype around financing topics, instead aiming to make its high-quality services the focus of public attention while enabling its team to concentrate on enhancing business competitiveness.

Regarding the company’s strategy after securing financing, Wang Hang of Haodf Online provided the following response:

First, Haodf Online will continue to expand its advantage in medical resources. As of March 2017, Haodf Online had listed 490,000 doctors from 7,500 accredited hospitals across China, among whom 145,000 had completed real-name registration, covering the most active segment of China’s top-tier expert resources.

Second, after securing the previous round of financing, Haodf Online concentrated its resources on “post-consultation services,” building a robust team and a mature operational model to help physicians manage and serve their existing patients online. Currently, Haodf Online’s post-consultation services have become the only large-scale online disease management system in the industry, with over 10 million patients under management.

Third, Haodf Online is closely aligning with the national tiered diagnosis and treatment policy by facilitating connections between large hospitals and primary healthcare institutions to establish an “Online Medical Consortium.” This initiative enables the dissemination of specialist expertise to the grassroots level, allowing patients to receive “diagnostic and treatment plans from remote specialists combined with convenient services from local physicians” within their own communities. Haodf Online aims to complete the nationwide rollout of its “Online Medical Consortium” platform by the end of the year, thereby extending the reach of internet-based medical services to primary care settings across China.

Fourth, Haodf Online’s next strategic objective is to develop commercial medical insurance products grounded in high-quality healthcare services. By driving comprehensive innovation in service professionalism, accessibility, coverage levels, and cost-control capabilities, the company aims to establish a virtuous cycle that delivers trustworthy medical security services to the general public.

According to available data, Haodf Online has undergone multiple rounds of financing:

In 2007, it received RMB 3 million in angel investment from Lei Jun and Ceyuan Ventures.

In 2008, Series A financing led by DCM, amounting to $3 million;

In 2011, the company secured tens of millions of US dollars in Series B financing, led by Trustbridge Partners;

In 2015, Series C financing, led by ZhenFund and Chongde Capital, amounted to US$60 million;

In 2017, the company raised $200 million in its Series D financing round, led by Tencent.

Following Haodf Online’s Series D investment round, Tencent is poised to establish a monopoly in the internet healthcare sector. After sequentially investing in DXY (2014, $70 million), WeDoctor (2014, $106.5 million), Zhuojian Technology (2015, RMB 150 million), and Medlinker (2015, $40 million), Tencent has further expanded its healthcare portfolio by acquiring Haodf Online, thereby securing a significantly dominant position in the internet healthcare industry.