Rio Health Raises $4.5 Million for Quick Pharmacy Network Expansion
Indian pharmacy-focused quick commerce startup Rio Health has secured $4.5 million in a pre-Series A funding round. The capital will be used to expand its operations in Delhi NCR and enhance its technology.
Rio Health, a quick commerce startup specializing in pharmacy services, has raised $4.5 million (approximately ₹43 crore) in a pre-Series A funding round. The round was led by Version One Ventures, with participation from existing investors Xeed Ventures, Good Capital, and Amplify.
The company plans to utilize the new capital to expand its presence across the Delhi NCR region. This includes establishing 12 additional dark stores and strengthening its technological capabilities in ordering, inventory management, and delivery operations. Rio Health is also targeting an annual recurring revenue (ARR) of over ₹150 crore within the next nine to 12 months.
According to Rio Health cofounder Ankur Agrawal, the funding will bolster the company's technology, improve its demand prediction at a neighborhood level, and make reliable medicine delivery accessible to more customers in Delhi NCR. The startup delivers medicines and healthcare essentials within 20-30 minutes.
The company currently processes over 30,000 orders monthly, with an average order value ranging from ₹600-700. Approximately 80% of its orders are from repeat customers. The quick commerce market for pharmaceuticals in India is expanding, despite facing higher operational and regulatory complexities compared to grocery delivery.