DrugStoc, an e-health pharmaceutical supply startup founded in 2015, has raised $4.4 million in Series A funding. The funding round was led by Africa HealthCare Master Fund (AAIC) and included investors such as Vested World, the German Development Bank (DEG) as well as other angel investors.
DrugStoc, founded by Chibuzo Opara and Adham Yehia, is a Nigerian health-tech startup determined to improve the pharmaceutical supply chain in Nigeria and Africa. It achieves this by terminating notable issues like fake drugs in the market. DrugStoc connects drug companies directly to healthcare institutions such as hospitals and pharmacies so as to eliminate the chances of buying substandard products.
DrugStoc plans to use the Series A funding to aid its expansion into 16 states in Nigeria beyond Lagos. Its plan is to provide quality drugs and other pharmaceutical products to 100 million Nigerians within the country. And eventually, expand into other African countries.
“In Nigeria, we intend to expand beyond 14 million we currently serve to cover just around 100 million people. And this would be achieved by expanding to about 16 states. Once we are done with the heavy lifting from that expansion, we will be training our sights on other countries,” DrugStoc explained.
As of now, DrugStoc connects 400 pharmaceutical manufacturers to 3,200 doctors, hospitals, and pharmacies. The startup’s monthly revenue has increased by about 1,500% in three years as revealed by Opara, co-founder, and CEO.
Speaking on the Series A round, Africa HealthCare Master Fund (AAIC) director Nobuhiko Ichimiya told TechCrunch, “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 that is well-positioned to be a key player in the sector’s growth in Subsaharan Africa.”