One thing remains clear about startups in Egypt this year: their success in raising funds this year has been quite largely sector-agnostic. Joining the league in latest fundraising is Cairo-based medicine delivery and digital claims startup Yodawy. With its first ever external funding Series-A round deal of $1-million led by Egyptian venture capital firms Algebra Ventures and CVentures, the startup is looking to disrupt Egypt’s medicine industry.
Here Is The Deal
- The funding round was led by Egypt’s venture capital firms Algebra Ventures and CVentures.
- Joining this round of funding is also Egypt’s angel investor firm ASI Ventures also participated in the funding round.
- Although Yodawy did not disclose what the funding would be used for, stakes are high in Egypt’s medicine industry which the startup is looking to disrupt.
Why The Investors Invested
According to the managing partner of Algebra Ventures, Karim Husseinthe startup, with its vision, strategy and “outstanding progress”, has been able to deliver “outstanding results” in its first year of operations.
Emad Fouad managing director at CVentures said the startup has the potential to become a leading digital pharmacy benefits platform in the region.
Fouad added that Yodawy’s clear go-to-market addresses fundamental problems experienced by pharmacies, insurance companies and their respective customers, effectively adding significant value to all stakeholders.
A Look At What Yodawy Does
Founded in 2018 by Karim Khashaba, Sherief El-Feky and Yasser AbdelGawad, Yodawy, through its iOS and Android apps, enables users to browse and order medicine and personal care products from the nearest pharmacy from across its network of more than 2500 partners situated across 30 cities in Egypt.
The startup’s app also supports medical insurance co-payment plans.
Khashaba said in a statement earlier today that there is an “incredible opportunity” in the pharmacy benefits and claims processing space.
“It’s an established business model in different parts of the world, with no real solution in the region. Consumers and insurance companies alike are absolutely desperate for a better value proposition,” he added.
Yodawy won the Sanofi pitch competition at VivaTechnology 2019 in May.
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based Lawyer with special focus on Business Law, Intellectual Property Rights, Entertainment and Technology Law. He is also an award-winning writer. Working for notable organizations so far has exposed him to some of industry best practices in business, finance strategies, law, dispute resolution, and data analytics both in Nigeria and across the world