MDaaS, a healthcare startup with 16 diagnostic clinics in Nigeria, has opened its first clinic in Cameroon, marking its entry into Francophone Africa. The move is part of the startup’s strategy to mitigate exposure to Naira volatility and boost revenue.
“We’re scaling rapidly in Nigeria—we did over 16,000 patient visits last month—but we realised that we needed to diversify from a single country considering everything going on in Nigeria,” said Oluwasoga Oni, MDaaS CEO.
Founded in 2017, MDaaS provides X-rays, ultrasounds, and fully automated lab tests at its network of clinics across Nigeria. It also partners with 20 affiliate clinics using its proprietary tech platform, extending its reach to 26 states. The startup claims profitability in Nigeria, where customers pay upfront for services.
“What’s different about us is that we not only provide these services ourselves but we also install and handle everything, including the tech. Our tech is so good—it’s our secret sauce—which means we can coordinate at scale,” Oni said.
MDaaS chose Douala, Cameroon’s economic capital, as its entry point into Francophone Africa due to its bilingual environment (English and French) and strong demand for healthcare services. According to the World Health Organisation, public services in Douala are limited, concentrated in the city centre, and largely provided by the private sector.
“We went to Cameroon and visited other diagnostic centres and we noticed that the customer service culture could be improved. We observed that processes happened much slower—for example, if you did a test, you had to physically return to collect your results. These are issues we’ve already solved in Nigeria,” Oni said.
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.
“This is a tough time for venture-funded companies like ours [because] most people are not getting funded anymore. Right now, we’re dominating Nigeria, but even so, I think the current landscape accelerated our Pan-African expansion.”
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 tech 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 centres across Nigeria.
MDaaS hopes to build and learn from its expansion into Douala as it begins to strengthen 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.”