Early this year, a Nigerian health tech startup curative health Announced plans to expand within the West African country to digitize pharmacies and achieve efficiencies in the pharmaceutical supply chain thereafter Raising seed funding.
The YC-backed startup has grown since February from six to 16 states within the densely populated country, and plans to cover the remaining twenty as it embarks on a path to deepen its operations across the country. Buoyed by a new $4.4 million seed round, Remedial Health is also looking for growth opportunities in East and West Africa.
The latest round was led by Global Ventures, the venture capital firm that co-led the pre-formation round, with participation from Tencent, Y Combinator, Cathexis Ventures, LightSpeed Venture Partners Scout Fund, Ventures Platform, Alumni Ventures, True Capital Management and a number of Angel investors including Guillaume Luccisano and Christopher Golda.
founded by Samuel Okwada (CEO) and Victor Benjamin (COO) In 2021, Remedial Health will make it easier for pharmacies to source pharmaceutical products from major manufacturers and distributors, including GSK, Pfizer and AstraZeneca, as well as Orange Drugs, Emzor and Fidson Healthcare in Nigeria.
By empowering nearby pharmacies and hospitals with authorized dealers, the startup brings new efficiencies into the pharmaceutical value chains and stops the supply of counterfeit and substandard products. Inventory and loan financing features help its clients increase their basket sizes and improve their operational efficiencies.
Okwuada said that since the beginning of the year, the startup has grown very rapidly due to the uptake of its digital offering, buy now, pay later, and expansion activities.
“We have seen over 6-fold growth in the number of customers on our platform since January. The feedback we receive consistently about what they like the most about our platform revolves around the ease and efficiency of our inventory financing offerings, the variety of products they can access on our platform and the effectiveness of our buying process – Wherever our customers are in Nigeria, they usually receive their orders within 24 hours,” Okwuada told TechCrunch, adding that last-mile delivery, with support from its distribution centers, takes place in-house or through its partners.
“The launch of our inventory finance product has also attracted more customers to our platform, as they have been able to leverage it to grow their business and weather the challenges of price hikes. Over 60 percent of our customers are using our inventory finance product and we have seen over 50 percent growth in average volume their basket since we launched the product,” Okwada said.
The startup’s digital offering includes a digital procurement platform that enables pharmacies to manage their operations by making it easy to place and track orders. It also supports financial reporting and accounting, while providing real-time market information that improves manufacturers’ decision-making on forecasting, production, and distribution.
Patient Medicines Records (PMR) system allows pharmacies to access customer data making their requests clear and processes more efficient, in driving the delivery of more targeted and better healthcare services in their areas of operation.
like Nigeria drugsRemedial Health is among the growing health technology startups streamlining the pharmaceutical sector across Africa, an industry that has remained fragmented for decades – resulting in unavailability of inventory, quality concerns and erratic pricing.
“The market opportunity to serve community pharmacies across Africa is significant,” said Sacha Haider, Director of Global Projects. “In Nigeria alone, 500,000 community pharmacies manage more than 80% of annual drug sales of $70 billion. The team at Remedial Health is proactively addressing challenges, including price opacity, poor drug quality control, and a highly fragmented supply chain despite having a pharmacy-focused healthcare network backed by technology that has allowed for more than 25% cost reductions at the point of care.”