YC-Backed Remedial Health in Nigeria Raises $4.4M Seed Funding • TechCrunch
Earlier this year, after raising seed funding, Nigerian healthtech startup Remedial Health announced plans to expand across West Africa with plans to digitize pharmacies and streamline its pharmaceutical supply chain.
Starting in February, the YC-backed startup will expand its reach from 6 populous U.S. states to 16, and cover the remaining 20 states, embarking on a path to deepen its operations nationwide. . Backed by his new $4.4 million equity seed round, Remedial Health is also looking for growth opportunities in East and West Africa.
The latest round was led by Global Ventures, the VC that co-led the pre-seed round, with participation from Tencent, Y Combinator, Cathexis Ventures, LightSpeed Venture Partners Scout Fund, Ventures Platform, Alumni Ventures and True Capital Management. Many angel investors including Guillaume Luccisano and Christopher Golda.
Founded in 2020 by Samuel Okwada (CEO) and Victor Benjamin (COO), Remedial Health enables pharmacies to easily source medicines from leading manufacturers and distributors such as GSK, Pfizer, AstraZeneca, Nigeria’s Orange Drug, Mzol and Fidson. to procure. Health care.
By enabling neighborhood pharmacies and hospitals to source from certified suppliers, the startup brings new efficiencies to the pharmaceutical value chain and stems the supply of counterfeit and substandard products. Help clients increase basket size and improve operational efficiency.
Okwuada said the startup has grown exponentially since the beginning of the year due to the proliferation of digital products, pay now products and expansion activities.
“Since January, the number of customers on our platform has increased more than 6x. The feedback we consistently receive about what our customers love most about our platform is the ease and efficiency of our inventory finance services, how our customers is about the variety of products accessible on our platform, and the effectiveness of our procurement process.In Nigeria, orders typically arrive within 24 hours,” Okwuada told TechCrunch, backed by a distribution hub. It added that last-mile deliveries are being done in-house or through partners.
“The launch of our inventory finance product has attracted more customers to our platform because they have been able to use it to grow their business and weather the challenges of rising prices. Over 60% of our customers are using our inventory finance product, and since the product’s launch, our customers’ average basket size has increased by over 50%,” said Okwada.
The startup’s digital offerings include a digital procurement platform that helps pharmacies manage their operations by facilitating order creation and tracking. It also supports financial reporting and accounting while providing real-time market information that improves manufacturers’ decision-making on forecasting, production and distribution.
Its Patient Medication Record (PMR) system gives pharmacies access to customer data to improve order clarity and operational efficiency, resulting in better, more targeted healthcare services in their regions of operation. We are promoting the provision of
Like Nigeria’s Drugstoc, Remedial Health is one of the healthtech startups streamlining the pharmaceutical sector across Africa. The industry has remained fragmented for decades, leading to inventory availability, quality concerns, and volatile pricing.
Global Ventures Principal Sacha Haider said: In Nigeria alone, 500,000 community pharmacies account for over 80% of his annual drug sales in a $70 billion market. Remedial Health’s team reduced price opacity, poor drug quality control, and high fragmentation through a technology-enabled, pharmacy-centric healthcare network that enabled point-of-care cost savings of over 25%. We are proactively tackling issues such as a regulated supply chain. ”