Pharmacy Retail Chain Dawaa Dost Raises Debt Financing from Grameen Impact
The company has raised debt financing from Grameen Impact, an “impact-focused NBFC” promoted by Grameen Capital, whose mandate is to invest in companies that have demonstrated social responsibility and/or meet the social performance requirements and which have strong commercial potential.
Dawaa Dost, the leading omnichannel pharmacy retail chain for branded generic medicines, announced that it has become the first private company in India to fundraise from Grameen Impact for the social impact it creates by contributing to the UN’s SDG-3 targets. The company has raised debt financing from Grameen Impact, an “impact-focused NBFC” promoted by Grameen Capital, whose mandate is to invest in companies that have demonstrated social responsibility and/or meet the social performance requirements and which have strong commercial potential.
Dawaa Dost has received funding for its efforts towards SDG-3, “Good Health and Wellbeing”. The SDG includes several sub-goals, including 3.8 which concerns access to safe, effective, quality and affordable essential medicines and vaccines for all, and 3.D, which focuses on strengthening the capacities of all countries in early warning, risk reduction and management of national and global health risks. Dawaa Dost has the potential to benefit from a “pay-for-performance” model that would effectively reduce interest to be paid, partially or completely, based on meeting SDG-related milestones
The UN Sustainable Development Goals (SDGs), also known as the Global Goals, are a set of 17 goals that were adopted by the United Nations in 2015 as a universal call to action to end poverty, protect the planet and ensure that by 2030 everyone will enjoy peace and prosperity. The 17 SDGs are integrated – they recognize that action in one area will affect results in others, and that development must balance social, economic and environmental sustainability.
Dawaa Dost plays its part in achieving these goals through its unique business model and technological capabilities. Through its proprietary Kirana Tech assisted selling model, it plans to bring affordable drugs to nooks and crannies across the country. The company has also built its proprietary search engine that helps people find the right medicine at the right price and save up to 80% on the value of their prescription. Since many Indians do not know the composition of the medicines they consume, Dawaa Dost has built India’s 1st short format video platform that answers the most basic questions in simple regional languages for people . The company has also developed a conversational AI platform that calls people to remind them to take medication.
Amit Choudhary, Founder and CEO of Dawaa Dost, said, “We are proud to be India’s first private for-profit company to fundraise for our work towards achieving UN SDG 3. At Dawaa Dost, we are committed to ensuring the availability of medicines. at affordable prices across the country, raising awareness of the drugs they are taking and helping them stick to their medication regimens; aspects essential to achieving the United Nations SDG-3 targets.
Royston Braganza, CEO of Grameen Capital, said, “As an impact-driven NBFC with a strong focus on double-bottom line returns, we are very selective in the companies we lend to. Although a private, for-profit company, Dawaa Dost’s strong management team, visible contribution to the UN’s SDG-3, and ability to track and measure impressed us. We wish them all the best as they enter the next growth orbit, while ensuring a more inclusive, accessible and affordable healthcare option for India.