Leeds-based Pharmacy2U lands £40m to grow online prescription service
Leeds-based online pharmacy Pharmacy2U has secured £40m from investors including G Square Capital and the BGF.
The company will use the funding to grow its online repeat prescription service, according to City AM.
G Square partner and former Boots manager Ted Smith will also join the board as non-executive chairman.
Pharmacy2U was founded in 1999 and acquired by ChemistDirect in 2016, following which the firm made a loss of £20m until March 2017.
However, according to the company, its number of customers rose by 178% over the past year, including 25,000 new repeat prescription patients in the past month.
Mark Livingstone, Pharmacy2U chief executive, told City AM that the firm has enjoyed a “phenomenal period of high growth” and that disruptive technology now promises to make a “significant and much needed mark on healthcare”.
Pharmacy2U offers an online NHS prescription service, doctor service and private prescription service. NHS users can have repeat prescriptions delivered to their homes, with the company able to dispense about 700,000 prescription items a month.
According to the company, its’ NHS repeat prescription service saves patients £147 a year and 3.5 hours each month.
Laurent Ganem, founder and chief executive of G Square, said the private equity firm was drawn to Pharmacy2U’s fast growth, momentum in the sector, and its customer experience.
He added: “We believe that its technology and services participate in positively disrupting the healthcare industry in the UK.”
G Square is a Private Equity firm focused on the Healthcare sector, with 14 investments including Unicare and more than £500m in assets.
The BGF led a smaller £7m investment in 2017, adding to Pharmacy2U’s £57m total investment.