With a focus on HIV clinics, pharmacy startup Alchemy announced today that it raised $31 million in seed financing. The funding round was led by Andreessen Horowitz’ a16z Bio + Health initiative with participation from basketball legend Earvin “Magic” Johnson. Other investors include Sandberg Bernthal Venture Partners, Banc of California and existing investors Twine Ventures, Springbank and AlleyCorp.
Alchemy’s ethos is to build and operate in-house pharmacies for independent clinics with a focus on providers that have large HIV and Hepatitis C (HCV) patient populations. Supporting health clinics with “physical, clinical and digital infrastructure,” the pharmacy startup aims to expand patient reach, improve health outcomes, and increase the financial impact of a clinic’s pharmacy program.
As Chairman and CEO of Magic Johnson Enterprises, Johnson’s decision to invest in Alchemy came from a personal space as the former NBA superstar revealed his HIV-positive diagnosis in 1991 and consequently, announced his retirement from the sport. However, with time and modern medication, Johnson not only survived but managed to thrive despite the viral infection. Now, Johnson is an activist for raising awareness about HIV/AIDs and works on dispelling the stigma surrounding the disease.
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“Investing in Alchemy is deeply personal, not only as a person living with HIV, but because I’ve witnessed firsthand the devastating impacts of HIV in our communities. Alchemy’s commitment to eliminating barriers to care and serving the underserved is a mission I’m proud to support,” Johnson said in the press release.
To serve underserved HIV communities across the nation, Alchemy has partnered with Federally Qualified Health Centers (FQHCs), Sexually Transmitted Diseases Clinics, and Ryan White clinics to offer its services including clinical pharmacy programs and technological products to aid safety net clinics.
Alchemy noted that its founding team has set up, operated and scaled pharmacies that have dispensed over 25 million prescriptions to patients across all 50 states in the U.S. The extensive experience was carried forward in building Alchemy in 2023.
Founder and co-CEO of Alchemy, Sid Viswanathan is no stranger to the healthcare industry. Previously, Viswanathan was the CEO and co-founder of the B2B pharmacy service TruePill. A Carnegie Mellon alumnus, Viswanathan started his entrepreneurial journey with CardMunch which was later acquired by LinkedIn.
“Having spent over a decade in Africa building the largest HIV access program in the world, I was shocked to learn that HIV medication adherence rates in Africa are better than they are here in the United States. I’m convinced that the number one barrier to medication access for HIV patients is the friction that exists in navigating the US pharmacy system,” said Peter Park, founder and Co-CEO of Alchemy.
Park is an alumnus of Harvard Business School and has partnered with Viswanathan on various pharmacy innovations.
“By bringing the clinic and the pharmacy into one location, we are providing unique solutions that meet the needs for HIV and HCV populations across the country,” Park noted.