MDaaS, a healthcare startup operating 16 diagnostic clinics in Nigeria, has launched its first clinic in Cameroon, marking its entry into Francophone Africa. This strategic move aims to mitigate the startup’s exposure to Naira volatility and enhance revenue streams.
We’re scaling rapidly in Nigeria—we did over 16,000 patient visits last month—but we realized that we needed to diversify from a single country considering everything going on in Nigeria.
Oluwasoga Oni, CEO of MDaaS
Founded in 2017, MDaaS offers X-rays, ultrasounds, and fully automated lab tests across its network of clinics in Nigeria. The startup also collaborates with 20 affiliate clinics through its proprietary tech platform, extending its reach to 26 states. MDaaS claims profitability in Nigeria, where customers pay upfront for services.
MDaaS selected Douala, the economic capital of Cameroon, as its entry point into Francophone Africa due to its bilingual environment (English and French) and high demand for healthcare services. According to the World Health Organization, public healthcare services in Douala are limited, concentrated in the city center, and largely provided by the private sector.
MDaaS is among several Nigerian startups expanding abroad following a 70% depreciation of the Naira against the dollar due to recent economic reforms. Investors are increasingly urging cross-border expansion, particularly into Francophone West Africa, where the Euro-pegged currency provides greater stability.
In addition to its diagnostic services, MDaaS operates Sentinel, a B2B digital health platform focused on preventive care. However, the majority of its revenue—65%—comes from B2C services, with 35% from B2B.
It took the startup six years to develop technology that automates processes, reducing costs and allowing patients to complete an average of three to four tests per visit. MDaaS claims it has diagnosed over 360,000 patients, with over a third diagnosed just this year. “It’s been our best year ever,” Oni said, attributing much of this growth to Nigerian second-tier cities like Ibadan, Ilorin, and Akure.
The startup, which raised $3 million in March 2024 from Nigerian VCs like Aruwa Capital and Ventures Platform, only pursued expansion this year due to the capital and operations-intensive nature of building and managing its 16 diagnostic centers across Nigeria.
MDaaS aims to build and learn from its expansion into Douala as it strengthens its foothold in the West African market. “Our big motto is ‘building healthcare for Africa’s next billion,’ so everything we’re doing furthers that goal,” Oni concluded.
