Remedial Health is a telehealth company from Nigeria that is trying to increase the efficiency to its pharmaceutical value chain by bringing faster deliveries to its customers all over Nigeria. For this reason, the company has just raised a funding round of $12M from various investors. The CEO of Remedial Health says that that the priority at the moment remains on increasing penetration in 34 states by getting more pharmacies and hospitals signed up, especially in rural areas, where demand is growing. Remedial Health serves pharmacies and hospitals rather than being a medicine delivery company. “Pharmacies and hospitals use Remedial Health’s platform to order pharmaceutical products sourced from reliable and trusted manufacturers and verified distributors”, as per the company statement.
Remedial Health’s CEO Okwuada said that “We are seeing more growth in rural areas, because they are difficult to reach, and are far from major open drug markets in Nigeria,” and added that “the startup currently has a “considerable market share” in at least half of the 34 of 36 states it operates in within Nigeria.” He also mentioned that “We are a B2B business and we are able to provide inventory to these pharmacies without requesting cash upfront, or at the point of delivery. . . . We’ve seen them grow their businesses, open additional branches because they are able to get credit”. Talking about his company, Okwuada said that “its customers receive orders within 24 hours. The startup has a network of distribution hubs, spread across the regions it serves, and does last-mile delivery in-house or through partners. Other startups bringing efficiency in the pharmaceutical value chain include MyDawa, and DrugStoc”.
QED Investors said in a statement that “The success that Remedial Health has enjoyed to date is an indication of the market gap that exists, and their value in providing effective holistic services to thousands of pharmacies across Nigeria.” and added that “QED is particularly excited about the embedded financial services opportunities within the vertical — the ability to provide payments, embedded lending and other fintech solutions to this underserved but very crucial sector.” This is QED’s third investment in Africa and its first in Nigeria.
