US-based pharmaceuticals delivery service Capsule has received $20m in a funding round backed by diversified conglomerate Virgin Group, TechCrunch has reported.
Venture capital firm Thrive Capital led the round while VC firm Sound Ventures also contributed funds. The round was first reported by the Wall Street Journal, but later confirmed to TechCrunch by Capsule founder and CEO Eric Kinariwala.
Founded in 2016, Capsule delivers prescription medicine to users, coordinating refills directly with doctors and co-payments with insurance providers.
The company manages its own inventory of drugs, relying on predictive technology to ensure consistent stock levels. Users can also text, call or email a trained pharmacist rather than dealing with automated phone recordings.
Capsule is currently only operating in New York City, where it offers free deliveries within two hours. It has not disclosed what it will do with the funding, though it faces competition from a range of other startups in the sector.