Tata Digital, the subsidiary of Tata Sons is set to acquire a majority stake in digital health startup 1MG.

Prashant Tandon, the CEO of 1MG, told CNBC-TV18’s Mugdha Variyar that for the health startup it is a significant milestone in their journey. “1MG was started to make healthcare understandable, accessible, and affordable and in Tata Group we find a very unique alignment, a brand name that is trusted, a group that is known to do things the right way,” he said.

Tandon added that it perfectly suits 1MG to work with Tata as partners to take their startup to the next level and create India’s best healthcare company from here.

“Broadly, digital health space is seeing a massive change. It is an inflection point. Especially post the pandemic the need and appreciation of delivery of healthcare services where the consumer is at their doorstep has only grown manifold,” he said.

According to Tandon, this sector requires a lot of investments, streamlining, technology, and “really big and good teams working at it.”

“It is a sector coming of age, it is a sector where clearly the large players feel that this is one of those opportunity areas where it is imperative that the big players have a role to play and those investments that long-term commitment that can come from the strategic is very important for this sector,” he said.

For the full management commentary, watch the video.

(Edited by : Kanishka Sarkar)

First Published:Jun 10, 2021 2:46 PM IST