Drugstoc, a health tech-enabled procurement startup, announced that it has secured $4.4 million in a Series A funding round to expand across Nigeria. The funding round was led by Africa HealthCare Master Fund (AAIC), with Chicago-based venture firm Vested World, the German Development Bank (DEG) and high-net worth individuals participating.
Drugstoc intends to use this new funding to expand into 16 states within Nigeria as it seeks to explore outside Lagos, its current base.
Founded in 2015 by by Adham Yehia and Chibuzo Opara, Drugstoc provides hospitals and pharmacies access to genuine pharmaceutical and health care products through a seamless end-to-end procurement platform enabling them source for all medications and consumables they need. It combines the use of unmatched technology, supply chain innovation, financial solutions, and product knowledge to unlock access to medications in emerging Economies.
“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 sub-saharan Africa,” said AAIC director, Nobuhiko Ichimiya.
DrugStoc currently serves 400 manufacturers to 3,200 doctors, hospitals and pharmacies. Opara says that the platform’s monthly revenues have grown over 1,500% in the last three years; a demand brought by the quality assurance that comes with DrugStoc’s platform. The startup earns a commission for every sale made.
In 2019, Drugstoc received a share ($65,000) of the of the inaugural $1million Africa Netpreneur Prize Initiative by the Jack Ma Foundation and an undisclosed amount from CcHub’s Growth Capital Fund.
