Site icon Daily Business

£9m helps online pharmacy Phlo expand offering

Nadeem Sarwar
Nadeem Sarwar: a huge vote of confidence (pic: Terry Murden / DB Media Services)

Online pharmacy Phlo has raised £9 million to help support the Scottish company’s development as a broadly-based digital healthcare business.

The raise comes at a difficult time in the market, when investment in digital health startups has declined year-on-year since 2021.

However, Glasgow-based Phlo’s in-house technology has been a key driver of investor confidence.

This latest round of financing comes 14 months after the completion of Phlo’s £10m Series A raise, and 12 months after its acquisition of the assets of former competitor TruePill UK.

It follows a year of robust business growth and the launch of several products across women’s health, weight management and on-demand prescribing services.

The round’s lead investor was Par Equity, which made a significant investment from its recently-announced £100 million venture capital fund, Par Equity Ventures I LP.

Par Equity was joined by Thairm Bio and Scottish Enterprise, both of whom invested in Phlo’s 2023 Series A.

Phlo now comprises several healthcare e-commerce services, including a dedicated women’s healthcare brand. Over the next 12 months, Phlo plans to expand its UK operations.

Nadeem Sarwar, founder and CEO, said: “In the UK tech sector, the investment climate has been both unpredictable and incredibly challenging for the past two years.

“Despite this, Phlo’s investors have provided the leadership team with a huge vote of confidence in our business model and product ecosystem.

“This gives additional significance to the close of this fresh investment round, which will unlock huge business and growth opportunities across the entire Phlo network. I’d like to thank Par Equity, Thairm Bio and Scottish Enterprise for their support and belief in Phlo’s vision for the future of healthcare”.

Paul Munn, managing partner at Par Equity, said: “This investment aligns perfectly with our commitments.

“We’re excited to see the developments in Phlo’s next growth phase as we support them to scale across and become an end-to-end digital healthcare provider in the UK.”

Mark Bamforth, founder of Thairm Bio, added: “I am excited to see what this next growth chapter will deliver.”

Kerry Sharp, director of Entrepreneurship and Investment at Scottish Enterprise, said: “Phlo fits well with SE’s missions, as a company in the healthcare sector with potential to scale, create jobs and bring strong economic benefits to Scotland.”

Exit mobile version