Zipline Secures $190 Million Series C Funding to Expand Drone-Based Medical Delivery in Remote African Regions

Recently, VCBeat (WeChat Official Account: vcbeat) learned that medical drone manufacturer Zipline has completed a $190 million Series C financing round, bringing the company’s post-money valuation to over $1 billion. This round was supported by existing investors Katalyst Ventures, Temasek, GV, Baillie Gifford, Bright Success Capital, Goldman Sachs, Oakhouse Partners, Toyota Tsusho, and DESIGN TO IMPROVE LIFE FUND, as well as new investor The Rise Fund.

Since its establishment in California, USA, in 2014, Zipline has raised a total of $225 million. The company will utilize these funds to further expand its markets in Africa, South Asia, Southeast Asia, and the Americas. In these regions, Zipline’s medical drones are capable of delivering medicines to remote areas with underdeveloped road and rail transportation systems.

Currently, Zipline’s largest market is in Africa, where it has established operational centers in Ghana, Rwanda, and Tanzania. Users in these three regions can send delivery instructions to medical drones via SMS, and the drones will deliver medications to the designated destinations within 30 minutes. To ensure timely deliveries, Zipline has built multiple distribution warehouses to store commonly used vaccines, blood products, and emergency medications.

Zipline’s medical drones can reach speeds of up to 70 miles per hour, carry payloads of up to 4 pounds, and cover distances of up to 100 miles per day. Furthermore, Zipline does not require dedicated drone takeoff and landing infrastructure, as these medical drones can take off and land on flat ground. Currently, each of Zipline’s distribution centers can deliver medications to residents within a 7,700-square-mile radius.

In April 2019, Zipline officially established a partnership with the Government of Ghana. Zipline opened four distribution centers in Ghana, each serving an average population of 2.5 million. Zipline’s operations in Ghana are funded by Gavi, the Vaccine Alliance, which was co-founded by the Bill & Melinda Gates Foundation, Pfizer, and the UPS Foundation. Additionally, Zipline provides over 65% of Rwanda’s blood delivery services via drones in the capital city. Looking ahead, Zipline plans to continue expanding its business scope to deliver medical supplies via drones to more than 700 million people worldwide.

Zipline CEO Keller Rinaudo stated, “The conventional wisdom has long held that successful tech companies struggle to benefit the general public, instead leveraging personal data for commercial gain. Through its operations, Zipline aims to demonstrate that a technology company driven by the right mission can improve lives and ensure that the vast majority of people reap the benefits of technological advancement.”

Katalyst Ventures is an early-stage venture capital fund that focuses on investing in entrepreneurs with original ideas. Katalyst Ventures helps entrepreneurs build technical teams, expand into markets, and accelerate business development.

Temasek, established in 1974, is an investment company headquartered in Singapore. Temasek’s investments focus on four major themes: transforming economies, the growing middle class, strengthening comparative advantages, and emerging champions.

GV is Google’s venture capital fund, established in March 2008. Leveraging its own strengths, Google aims to support promising technology companies by making early-stage investments across multiple industries, including consumer internet, software, clean technology, biotechnology, and healthcare.

Baillie Gifford is a venture capital firm owned and operated by 44 senior executives.

Bright Success Capital is a Hong Kong-headquartered family fund primarily seeking cross-border investments.

Goldman Sachs is the investment platform of Goldman Sachs Group, dedicated to providing mezzanine financing to growth-oriented and middle-market companies in the United States, the United Kingdom, and Europe.

Oakhouse Partners is a venture capital fund that invests in early-stage software startups in the San Francisco Bay Area and Salt Lake City.

Toyota Tsusho is an international trading company. With its automotive business as the core pillar, Toyota Tsusho has achieved steady growth by leveraging its global network to engage deeply in manufacturing-related trade.

The DESIGN TO IMPROVE LIFE FUND is a Danish non-profit organization that provides funding in the field of sustainable development to help address social issues.

The Rise Fund is a venture capital fund dedicated to scaling social and environmental impact while delivering financial returns.

(Compiled by Zhang Yujie)