Kenyan e-health startup MyDawa has secured $20 million in funding from private equity investor Alta Semper Capital. The investment will fuel the company’s expansion plans to broaden its regional presence and enhance its product offerings, aiming to establish itself as a comprehensive health platform.
Since its establishment in 2016, MyDawa has evolved from being solely an e-pharmacy to offering diverse services such as online and in-person consultations, laboratory services, and an expanding network of walk-in pharmacies and health centers.
In addition to its existing ventures, MyDawa has introduced its own branded products and intends to leverage its technology infrastructure, extending beyond telehealth to fulfillment services. This move aims to support other businesses in the health sector and facilitate their growth. MyDawa has already secured partnerships with prominent clinic chains in Kenya that are seeking to expand their reach.
Furthermore, MyDawa has made its first strategic acquisition, obtaining Uganda’s Guardian Health. This acquisition marks the initial step in MyDawa’s ambition to expand beyond Kenya. The company’s growth trajectory will be guided by its newly appointed CEO, Priscilla Muhiu, previously associated with Glovo Kenya.
Co-founder Neil O’Leary expressed enthusiasm about the funding and the recent acquisition, highlighting the alignment of Alta Semper’s ambition with that of MyDawa. O’Leary emphasized the positive impact of these developments on the company’s secure foundation and expansion opportunities, leading to improved health outcomes.
The investment from Alta Semper follows a previous $3 million funding from AAIC’s Africa Healthcare Fund in 2019. Additionally, MyDawa has received a $1.2 million grant from the Bill & Melinda Gates Foundation to enhance access to Pre-Exposure Prophylaxis (PrEP) medication for combating the spread of HIV/AIDS.
Alta Semper CEO Afsane Jetha described the investment as the company’s first foray into digital healthcare in Africa, recognizing the sector’s substantial growth potential. Jetha explained that MyDawa was the logical choice due to its innovative technology, scalable business model, regulatory expertise, and market entry experience.
The investment aligns with Alta Semper’s mission to democratize access to health and well-being throughout the African continent by increasing access to reliable advice and affordable medication. With Africa’s consumer spending projected to reach $2.1 trillion by 2025, the investment in MyDawa represents a significant opportunity to meet the growing demand and invest in locally produced and value-priced consumer goods and services.
