By Prince Osuagwu

Healthtech startup, DrugStoc has secured USD 4.4 million funding to expand access to quality medicines while providing sustainable supply chain financing for healthcare providers in Sub-Saharan Africa.

The funding round is led by Africa HealthCare Master Fund, AAIC, and other investors including Chicago-based venture firm Vested World and the German Development Bank,DEG.

DrugStoc is a cloud-based platform that provides healthcare providers with the interface for easy access to pharmaceuticals and healthcare products. It ensures that patients get quality medicines at affordable prices. It was established in 2017,

Co-founder and CEO of the company, Chibuzor Opara, said the fund will help with the company’s innovations and expansion project, adding “we are committed to making an impact in the healthcare industry. This funding will enable us to expand and launch our tech-enabled products in more African countries where pharmaceuticals are critically needed.

Having grown over the last three years with an almost 1500 percent increase in monthly sales since January 2018, the company said about 14 million people currently have access to genuine healthcare products through hospitals and pharmacies it covers. The funding is expected to help the company grow coverage to about 100 million people, even as it plans to expand its supply chain infrastructure both digitally and physically beyond Lagos. It hopes to also build on its partnerships with financial institutions such as Sterling Bank, to increase access to sustainable supply chain financing.

A Director at AAIC, Nobuhiko Ichimiya, said: “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.”

Based on estimates from the United Nations Economic Commission for Africa (UNECA), Africa imports about 94% of its pharmaceutical and medicinal needs from outside the continent. Drugstoc is ensuring that more vital drugs, vaccines and health technologies are supplied safely, effectively and affordably to more people.