A “fast-growing” online pharmacy has secured investment to support its “organic growth strategy focused on the weight loss, hair loss and erectile dysfunction private prescription markets”, Rockpool Investments told C+D this week (August 19).
While it declined to disclose the exact value of the investment into Oxford Online Pharmacy, Rockpool said that it typically invests “between £5 million and £15 million” to support “profitable UK-based private companies”.
Read more: GPhC 'looking into’ two online pharmacies after influencer concerns
Rockpool said that “the strategic investment will enhance the company's ability to meet the increasing demand for online pharmacy services, particularly in the fast-growing weight loss sector”.
A spokesperson for the investor added that the funding will also help to “expand the company’s senior leadership team” and fund “digital marketing initiatives and customer platform improvements”.
“It allows us to invest in a fast-growing business that is operating in a market with strong underlying growth drivers and an attractive customer profile,” they told C+D.
Family-owned
Oxford Online Pharmacy chief executive Stuart Gale said that the company is “delighted to partner with Rockpool” and “looks forward to executing [its] strategic plan for the business”.
The family-owned pharmacy chain was established in 1925 by Gale’s grandfather and has “evolved” into an “online-focused healthcare platform”, dispensing privately prescribed medicines and over-the-counter (OTC) medical products to patient’s homes.
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Rockpool partner Darran Green added that the investor has “confidence in the company's vision, leadership and commitment to technology-enabled accessible healthcare”.
“The management team’s focus on regulatory compliance, high levels of customer service and operational efficiency positions Oxford Online Pharmacy as a market leader and an attractive opportunity for Rockpool,” the spokesperson added.
The pharmacy is the second healthcare business to be backed by Rockpool this year after an investment in aesthetics training business Harley Academy in February, they said.
Online pharmacy latest
It comes as the General Pharmaceutical Council (GPhC) last week said that investigations into two online pharmacies are “active” after concerns were raised about pharmacies using influencers to sell prescription medication on social media.
This follows a C+D investigation that found several online pharmacies appeared to be flouting regulations by giving influencers discount codes for weight loss services, including prescription drugs like Wegovy and Mounjaro, to share with followers.
Read more: Online pharmacy Chemist4U rakes in 272% higher profits in 2023
At the time, the GPhC exclusively told C+D that pharmacies “should not create or use discount codes for prescription-only medicines (POMs)”, including the creation of codes “for other advertising for example by social media influencers”.
In June, online pharmacy Chemist4U reported sales of £30m as its profits leapt 272% over the last financial year.
