Internet and telecommunications group SoftBank’s Vision Fund has invested $250m to lead a series D round of undisclosed size for US-based medicine delivery service Alto Pharmacy, Reuters reported yesterday.
The round valued Alto at more than $1bn and included investment firm Greenoaks Capital and venture capital firm Jackson Square Ventures, according to two people familiar with the development.
Formerly known as ScriptDash, Alto runs an online pharmacy that manages prescriptions, delivers medication and offers discounts as well as support on call. It also negotiates with health insurers and streamlines work for care providers.
Vision Fund invested out of its Fund II and had at one point considered providing $300m before dialling its participation down slightly, according to the sources. The transaction is expected to be officially announced next week.
Alto raised $50m from Greenoaks Capital, Jackson Square Ventures and Zola Capital in December 2018, before private equity firm Lian Group announced six months later it had invested in the company, which raised $28.6m in July according to a securities filing.
Greenoaks had led the company’s $23m series B round, announced alongside its rebranding in 2017, with backing from Jackson Square and private investors Rahul Mehta, Craig Sherman and Justin and Daniel Kan. It had previously received $6m in series A funding.
