Singapore-based Wellness Platform CXA Rakes In Fresh Funding

CXA

Existing backers HSBC and Humanica inject fresh capital into CXA

Singapore-based employee health ecosystem platform CXA Group has raised an undisclosed amount of funding from Thailand-based human resources (HR) solutions provider and existing backer Humanica, and HSBC Life (International) Limited, a subsidiary of global banking and financial services provider HSBC Holdings, CXA announced in a statement today.

Founder and CEO of CXA Group Rosaline Chow Koo said in the statement, “The follow-on investment reflects Humanica and HSBC Life’s confidence in CXA’s long-term growth opportunity. It also further backs our unique ability to shift healthcare spend from treatment to prevention, while keeping costs under control.”

Koo added that the startup is seeing ‘overwhelming interest’ from investors, and that further developments are slated to take place in the coming months.

According to the statement, the company will funnel the money toward enabling customization of its platform. This will allow it to be ‘white-labelled’ by Asia-based banks, as it will enable the company to offer a tailored solution to its commercial clients.

Employees of such companies will be able to purchase personalized app-based health, wealth, and wellness options, through funds from insurance policies provided by their employers that will be released into the platform’s eWallet.

“By adapting this platform – one that people could use every single day – and making it available through banks to SME employers and employees, our ambition is also to help the banks serve more personalized bancassurance offerings that individuals need and want in their personal lives, at precisely the right moment,” Koo said in the statement.

Koo also noted that the CXA platform brings together offerings such as insurance, epharmacy, health screenings, and physical and mental health services, to integrate healthcare for employees and shave off intermediary costs for employers.

“Building an enterprise-grade white-label software that can be integrated with the complex systems of banks, insurers and payroll firms is no trivial task and it has involved us having to build a reference microservices architecture that is scalable, API-led and open source, from scratch,” she added.

With this round, Humanica has doubled its investment in CXA, the statement said. Humanica and CXA have also signed a Memorandum of Understanding (MOU), through which CXA will integrate its services with Humanica’s Human Capital Management platform in Thailand.

The collaboration will cater to Humanica’s 3,000 local enterprise customers and their 700,000 employees.

“CXA’s innovative use of analytics helps our enterprise clients effectively manage their healthcare costs and promote their employees’ well-being,” Humanica CEO Soontorn Dentham said in the statement.

“This combined payroll, employee benefits and health ecosystem platform offering will be an essential part of HR and employee experience transformation for our corporate and SME customers in Thailand, and we believe it will be the first of more value-adding integrations involving CXA,” he continued.

The funding from Humanica and HSBC Life comes in just a few months after CXA laid off a dozen employees due to the automation of certain roles within the company. The startup’s investors also highlighted the need for a “clear path to profitability” in March this year.

In 2019, CXA raised $25 million in a convertible note bridge financing round from a slew of investors including HSBC, Singtel Innov8, Telkom Indonesia MDI Ventures, Humanica, and Heritas Venture Fund. Its total funding haul prior to this round stood at $58 million, including funding from a Series A in 2015 and a Series B round in 2017.

Founded in 2013, the company currently serves 600 enterprise clients and has spent the previous year developing an enterprise-grade software solution and fortifying its technical capacity.

To this end, the startup established a partnership with global software company ThoughtWorks in January 2019. It also set up a Tech Hub in Vietnam in the same year to focus on product development, artificial intelligence and machine learning, among others.

Header image courtesy of CXA Group

SHARE THIS STORY

Share on facebook
Share on twitter
Share on linkedin
Share on email

RELATED POSTS

What Should Employees Do in a Crisis

What Should Employees Do in a Crisis?

At the start of January 2023, a drunk man in an Air India flight’s business class urinated over a 72-year-old woman sitting beside him. The man, Shankar Mishra, was the Vice President of the financial services company Wells Fargo (he was fired following the incident). In itself, the incident is disgusting.

Top 5 AI Companies in the World

Top 5 AI Companies in the World

Technological developments are driven by the human need to make life easier and complete tasks faster and more efficiently. The drastic growth of technology in recent years has paved the way for artificial intelligence (AI) to become an integral part of almost every industry—from education and lifestyle to music and sports. It is everywhere. And by the looks of it, it is here to stay.

3 High Demand Metaverse Jobs in Future That Your Kids Should Look into

3 High Demand Metaverse Jobs in Future That Your Kids Should Look into

It’s no wonder why Jumpstart Media named “metaverse” one of the top emerging trends and technologies to look forward to in 2023. With an expected compound annual growth rate (CAGR) of 39.4% from 2022 to 2030, Grand View Research forecasts that the global metaverse market is set to expand exponentially. From fashion shows, gaming, luxury products, sports and travel to art, many industries are tapping into the metaverse’s potential.

4 Most Anticipated Tech IPOs of 2023

4 Most Anticipated Tech IPOs of 2023

The technology industry has been a driving force in shaping the global economy for decades and the initial public offerings (IPOs) of technology companies are often highly-anticipated events. In 2022, the tech IPO market saw a slowdown compared to the previous year, 2021.

5-Luxury-Items-That-Are-Worth-the-Investment

5 Luxury Items That Are Worth the Investment

The world of luxury items is one of elegance and exclusivity, with their value increasing as time passes. They are unattainable and highly coveted by the masses. Plus, luxury products have a Veblen effect on the market—as their price rises, their demand does, too.

How Do You Know When to Give Up on Your Startup?

How Do You Know When to Give Up on Your Startup?

Starting a new business is never an easy task. You put your heart into it and spend countless hours working on what you believe will make someone happy or solve society’s problems. But sometimes, startups don’t work out as planned—this can be both disheartening and discouraging.