After clashing with pharmaceutical giant Express Scripts earlier this year, Somerville-based online pharmacy startup PillPack disclosed on Tuesday it is raising a new, $40 million round from investors.
In a new Form D filing, PillPack said it has raised $31.1 million for the equity offering so far, and that the first date of sale was on Aug. 22. Fortune reported that Astral Capital, a new Boston-based venture capital firm led by former Accomplice partner Jon Karlen, has joined existing investors Accel Partners, Accomplice, CRV and Sherpa Capital as a new investor.
The new round brings PillPack's pre-money valuation to $330 million, up from $240 million when it raised a $50 million round last summer, Fortune said, citing multiple sources. While the new round is slightly smaller than the previous one, Fortune reported that the round may be increased to $50 million "because of intense investor interest."
TJ Parker, PillPack's CEO and co-founder, confirmed the new funding round with BostInno, but declined further comment.
The funding comes after PillPack almost lost what it said would amount to nearly a third of its customers back in April due to a contract dispute with Express Scripts, one of the largest pharmacy benefits managers in the U.S. After PillPack waged a short public relations battle against Express Scripts, the two companies set aside their differences later that month.
Before the contract dispute was resolved, Parker told BostInno that losing customers through Express Scripts wouldn't have impacted its ability to grow. The startup, which has raised $90 million to date from investors, most recently opened an office in Salt Lake City and currently has more than 400 employees, up from 100 a year ago.
