DrugStoc, a Nigerian e-health firm, has acquired US $4.4 million in Series A funding to improve access to high-quality pharmaceuticals while also giving healthcare providers in Sub-Saharan Africa long-term supply chain finance.
DrugStoc is a cloud-based platform that allows healthcare practitioners to easily access medications and healthcare items. It was launched in 2017. The company guarantees that patients receive high-quality medications at reasonable pricing.
Since January 2018, 14 million individuals have had access to real healthcare items through hospitals and pharmacies insured by DrugStoc, which has increased by about 1,500% in monthly sales over the previous three years. Following a $4.4 million Series A fundraising round headed by Africa HealthCare Master Fund, it now wants to expand its coverage (AAIC). Vested World, a Chicago-based venture capital firm, and the German Development Bank are among the other investors (DEG).
The money will aid the company’s aspirations to expand coverage to around 100 million people. It intends to do so by digitally and physically increasing its supply chain infrastructure. As it expands its coverage outside Lagos, DrugStoc will expand its digital solutions to increase access and accommodate additional partners, as well as invest in high-quality cold chain infrastructure to ensure the safe transportation of perishable items.
In addition, DrugStoc will use its relationships with financial institutions like Sterling Bank to provide access to long-term supply chain finance.
“Fragile and resource-challenged healthcare systems require a radically transformative set of market-based strategies to expand access to healthcare. The DrugStoc way re-engineers the value chain digitally, improving and expanding access to healthcare at the same time,” said Chibuzo Opara, DrugStoc’s co-founder and chief executive officer (CEO).
“We are very excited to be part of the DrugStoc journey. The pharmaceutical market in Africa has enormous growth potential and we are glad to back a company well-positioned to be a key player in the sector’s growth in Sub-Saharan Africa,” said Nobuhiko Ichimiya, director at AAIC.
