India: PharmEasy raises $18m Series B round led by Bessemer

Mumbai-based pharmacy aggregator PharmEasy has raised $18 million in Series B round led by venture capital firm Bessemer Venture Partners.

According to a company statement, Aarin Capital, Astarc Ventures and Trifecta Capital have also participated in the round.

PharmEasy will use the money for increasing awareness in existing cities and improving technology, delivery system and supply chain.

Last year, the company had raised around Rs 33 crore ($5 million) in Series A round of funding from Ascent, Bessemer, Orios, Aarin Capital, Astarc Ventures and Medi Assist Healthcare Services Pvt Ltd.

Founded in 2015 by Dhaval Shah and Dharmil Sheth, PharmEasy is run by 91 Streets Media Pvt. Ltd. The startup connects patients with pharmacy stores. Currently, it operates in Mumbai, Delhi, Kolkata, Bangalore and three more cities, and claims to serve over a million customers.

The total global pharma market is over $600 billion and the Indian pharma market is close to $50 billion a year. Pharma stocks in India have been some of the best performers on the stock exchange for years.

In the online pharmacy sector in India, some of the companies are struggling due to regulatory hurdles while others are raising money. E-pharma startup Myra also reportedly raised $7-8 million from Matrix Partners and Times Internet while startups like Zigy closing its shop.

Last November, Chennai-based online pharmacy Netmeds acquired Delhi-based hyper-local delivery app for health and medical needs Pluss for an undisclosed amount. In December, e-pharmacy 1mg bought MediAngels.

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