ZappRx gets $25M for specialty drug prescribing app

By Heather Mack
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Digital specialty prescribing platform ZappRx has raised $25 million in Series B funding in a round led by Qiming US Healthcare Fund. GV, formerly Google Ventures, and SR One also contributed funding.

ZappRx’s cloud-based platform serves as a conduit for providers, pharmacies and patients to collaborate on the prescribing and management of specialty medications, which are used for complex illnesses ranging from cancer to neurological conditions. To relieve the multi-step, manual and fragmented processes traditionally used – which result in information siloes and data backlogs – the ZappRx app works to streamlines communication between doctor, pharmacy and patient, and it also helps users manage health insurance and payment information.

The added capital will be used to expand ZappRx’s workforce as the company explores greater adoption from providers and other partners. There are a number of prescription apps out there with a large footprint (including Digital Pharmacist, which recently acquired PocketRX to serve some 6,000 pharmacists around the country), but ZappRx is banking on the increasingly valuable specialty drug industry to keep it competitive. In the past five years, the $100 billion market for specialty drugs has nearly doubled and is projected to reach $400 billion by 2020. 

"We are excited to have top tier investors, Qiming US, SR One, and GV stand behind our product and our vision to transform specialty drug prescribing," ZappRx Founder and CEO Zoë Barry said in a statement.

What’s more, the app also captures large amounts of rich, real-time data that could provide valuable insights to specialty biopharma companies. This potential to leverage this longitudinal and disease area is a key attraction to investors.

"ZappRx has created a unified platform that we believe will dramatically transform the ecosystem experience around specialty drugs to benefit providers, payers, pharmacists, patients, and biopharma manufacturers," Quiming US Managing Partner, Mark McDade, said in a statement.