Is AyuRythm out of business after Shark Tank India?

• Founder: Ramanath Padmanabhan, Sandeep Acharya & Abhilesh Gupta
• Business: Ayurvedic Wellness App
• Ask: ₹75 lakhs for 2% Equity
• Valuation/Net worth: ₹37.5 Crores
• Result: ₹75 lakhs for 2.68% Equity
• Sharks: Aman Gupta
• Episode: Season 1 Episode 31

AyuRythm Shark Tank India Pitch:

AyuRythm, a health and fitness startup featured on Shark Tank India Season 1 Episode 31, was founded by Ramanath Padmanabhan, Sandeep Acharya, and Abhilesh Gupta. They sought a ₹75 lakh investment in exchange for a 2% equity stake in their Bangalore-based company. AyuRythm offers personalized holistic wellness solutions based on Ayurvedic principles through digital platforms. Their one-click solution enables individuals to connect with Ayurvedic doctors and receive personalized wellness guidance. The mobile application provides comprehensive body assessments, health advice, and access to a list of over 1800 home remedies, catering to Hindi-speaking users.

They had over 1.25 lakh downloads by the time of the pitch, out of which they had 25,000 monthly active users. They had 12 thousand downloads last month, and they have 68 thousand registered users. Their app has been live for a year and 2 months, and their retention rate is around 10%. Their plan is to acquire customers first, then work on engagement, and retention, and eventually monetize it. They are testing a subscription model as well, where they have around 80 subscribers. These subscribers can access content developed in-house, such as Yoga poses and food recommendations, etc.

AyuRythm shared that they have a previous investor who invested ₹70 lakh for a 14.1 Crore pre-money valuation. They also closed another round three months ago, where they raised ₹2.25 Crores at a 25 Crore valuation. They are still a pre-revenue company and are in talks with other companies for potential licensing deals.

AyuRythm Shark Tank India Negotiations:

During the pitch, Anupam asked if they had done any testing for their claims, and Ashneer pointed out the disclaimer in the app that says, “These results are only for Ayurvedic wellness and should not be interpreted or used for diagnosis or treatment.” Anupam asked for clarification, and the company explained that the app is only for lifestyle management, wellness, and prevention categories, as they haven’t done sufficient testing for diagnostic purposes. They are, however, working with a wellness resort in India and some Western Yoga universities and herbal companies to verify their claims.

Vineeta opted out, citing her lack of understanding of Ayurveda, and Anupam had concerns about the company’s vision, so he also decided not to invest. Namita mentioned her belief in Ayurveda but had accuracy concerns and also decided not to invest. Ashneer chose to stay out of the deal.

Aman, however, expressed interest in potentially integrating AyuRythm’s offerings with BOAT watches. The company emphasized that its secret sauce lies in its algorithm and data analysis. Aman offered ₹75 lakh for 5% of the company, with a condition that his R&D team would conduct accuracy testing before finalizing the deal. AyuRythm countered at 2.68%, which would be the same valuation as their previous funding round. Aman accepted that offer and closed the deal for ₹75 lakh for 2.68% of the company.

How is Ayurythm doing After Shark Tank India?

Regarding AyuRythm’s status after Shark Tank India, it appears that the deal with Shark Aman Gupta did not close after the initial agreement. The exact reason for the deal not closing is unknown, but it is speculated that it might be due to the company failing Aman’s R&D team’s due diligence. As of November 2023, the company had over 500k downloads on the Google Play store with a 2.6-star rating and a 3.9 rating on the Apple store.

AyuRythm’s founder shared in a podcast called “Creators of Products” that they had collaborated with Apple to promote Yoga Day. They also mentioned that they had raised another round of funding after Shark Tank India. The founder shared that their pitch was filmed in October and aired on January 31st. They gained 500k downloads in just 2 months after appearing on Shark Tank India, but their app crashed after the show aired, leading to negative feedback due to users not receiving OTPs to validate their accounts.

Source: Ayurythm Instagram

Here is how other companies from Season 1 Episode 31 are doing.