Total amount raised
$104.7 Millions
Latest funding date
01/01/2024
Location
SmithRx has successfully raised funds through multiple rounds, with the latest being a Series C round closed on January 23, 2024. The company is backed by 15 investors, including Venrock.
Keep reading to explore the intricacies of SmithRx's fundraising journey and the investors supporting this innovative platform.
What Is SmithRx?
SmithRx, founded in 2016 by Jake Frenz, is a pharmacy benefits manager (PBM) headquartered in San Francisco, California. The company operates within the health care, information technology, and pharmaceutical industries.
With a workforce of 501-1000 employees, SmithRx leverages modern technology to provide transparent, client-aligned services aimed at reducing drug costs for self-insured employers. The company has partnered with over 4,000 clients, offering a range of products and services, including a member portal and advanced member tools.
How Much Funding Has SmithRx Raised?
- Series C
- Amount Raised: $60M
- Date: January 2024
- Lead Investors: Venrock
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To continue reducing pharmacy benefits costs for small and midsize self-insured businesses.
- Series B
- Amount Raised: $27.2M
- Date: March 2022
- Lead Investors: Venrock
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the company's mission to reduce pharmacy benefits costs and expand its innovative programs and partnerships.
- Series A
- Amount Raised: $9M
- Date: January 2018
- Lead Investors: Founders Fund
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To develop and expand SmithRx's platform and services.
- Series A
- Amount Raised: $5.5M
- Date: July 2018
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance the company's technology platform and expand its customer base.
- Seed Round
- Amount Raised: $3M
- Date: March 2017
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To kickstart the company's operations and initial development.
Total Amount Raised: $104.7M. Current Valuation: Not publicly disclosed.
Key Investors
- Venrock
- Details: Venrock is a venture capital firm that invests in technology and healthcare companies. It led the $60 million Series C financing round for SmithRx.
- Investment Focus Areas: Technology, Healthcare
- Notable Investments: Apple, Intel, Gilead Sciences
- Founders Fund
- Details: Founders Fund is a venture capital firm that invests in companies building revolutionary technologies. It participated in the Series A round for SmithRx.
- Investment Focus Areas: Revolutionary technologies
- Notable Investments: Not publicly disclosed
What's Next for SmithRx?
SmithRx stands at the cusp of significant opportunities, particularly in reducing pharmacy benefits costs for small and midsize self-insured businesses. With innovative programs like Autoimmune Savings and Low-Cost Insulin, and partnerships with Mark Cuban Cost Plus Drug Company and Amazon Pharmacy, the company is well-positioned to make a substantial impact in the U.S. pharmacy sector.
Future fundraising opportunities appear promising, given the successful Series C round. As SmithRx scales its operations and expands its market reach, additional investment rounds could further bolster its growth. However, the company will need to navigate the complex and misaligned incentives within the pharmacy sector and compete with established PBMs to maintain its trajectory.
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