Vietnam’s BuyMed raises $2.5m in round led by Sequoia’s Surge, Genesia

BuyMed, a Vietnamese healthtech startup that operates pharmaceutical marketplace Thuocsi.vn, today announced that it has raised US$2.5 million in a pre-series A funding round led by Sequoia Capital India’s Surge and Genesia Ventures.

Existing investor Cocoon Capital also participated in the round. Last year, the VC firm, along with VietCapital Ventures, led a US$500,000 seed round for BuyMed.

The Thuocsi team / Photo credit: BuyMed

According to BuyMed, the US$65 billion pharmaceutical industry is plagued by gray market practices, substandard safety measures, and complicated distribution channels. With an aim to streamline the market, the company founded Thuocsi in 2018 to connect healthcare practitioners with healthcare manufacturers, brand owners, and distributors.

BuyMed will use the new funds to grow across Vietnam and the rest of Southeast Asia. It will also hire talent in mobile development, supply chain, and fulfillment as it expands the team to Hanoi and establish Thuocsi as a national distribution platform.

It also looks to add new product lines, including cosmetics, medical devices, supplements, and medical services, as it aims to become a one-stop marketplace for healthcare providers.

BuyMed said that it has tripled its revenue, with monthly orders increasing 13x in the last 12 months. The Thuocsi platform, meanwhile, has achieved 250% growth in the past six months, serving over 7,000 pharmacies, clinics, and hospitals across the country. It now has a network of more than 700 suppliers, distributors, and manufacturers, according to a statement.

The startup also said that since the start of the Covid-19 outbreak, Thuocsi has seen an increase in demand from pharmacies and clinics.