Healthtech startup Even Healthcare has implemented significant workforce reductions as part of its strategic restructuring. According to reports from Entrackr, the Bengaluru-based company has cut around 350 employees, representing approximately 30% to 35% of its workforce. The layoffs have affected multiple teams as the startup works to reduce costs and improve operational efficiency while transitioning its business model.
Despite the workforce cuts, Even Healthcare is simultaneously raising fresh capital to support its strategic pivot. As reported by Entrackr, the company is currently in the process of raising $50 million in a funding round led by existing investor Khosla Ventures. Even has already secured $21 million of the proposed $50 million round from Khosla Ventures, with the remaining capital expected in a subsequent tranche. The funding follows a $20 million round raised in January 2026 from Lachy Groom and Alpha Wave Global.
The restructuring reflects Even Healthcare's strategic pivot from insurance to hospital-led healthcare delivery. According to reports, the company started with a subscription-based healthcare model but has increasingly moved towards directly providing healthcare services. Even has launched its first hospital in Bengaluru and plans to expand its hospital network, though this shift has increased capital requirements as the company invests in healthcare infrastructure and operations.
The company's financial results highlight the challenges of building a hospital-led healthcare business. As reported by Entrackr, Even's revenue from operations increased more than threefold to ₹27.2 crore in FY25 from ₹8.3 crore in FY24. However, losses also widened during the period, with the company reporting a loss of ₹90.2 crore in FY25 compared with ₹72.4 crore a year earlier. The latest funding would take Even's total capital raised above $70 million.
The back-to-back fundraising and layoffs highlight the financial pressure involved in building a hospital-led healthcare business. According to reports, while fresh capital can support expansion, Even is simultaneously trying to control its cash burn and improve the economics of its operations. The success of the restructuring will depend on whether the company can build its hospital network while bringing down costs and moving towards a more sustainable business model.
