PE firm Cur8 Capital is inviting UK Muslims to invest as little as GBP5,000 (US$6,781) to join it in buying ailing pharmacies that can be rehabilitated to run for a profit and resold later.
Partnering Manchester-based Everest Pharmacy, Cur8 says it is redefining the role of community pharmacies to drive profitability and investor accessibility in an industry where Shariah compliant PE options have been virtually nil.
“What we found was that there weren’t any sort of options available in the UK pharmaceutical market which Muslim investors could actively get their hands on,” Husain Laher, PE investment manager at Cur8, shared with IFN Investor.
“So, what we put together was a PE offering, one of the first of its kind, in an investment via a pharmacy chain.”
The UK paradox: Shariah strength, weakness in Halal pharma PE
While the UK boasts a robust Islamic finance infrastructure catering to international and high-net-worth institutional clients, and with its pharmaceutical industry attracting significant investment, there is little synergy between the two.
It’s a paradox, given the industry’s intrinsic link to health and well-being and its natural alignment with Islamic ethical principles that emphasize purity and responsible conduct.
Much of the UK’s Islamic finance activity is directed towards large-scale real estate, Sukuk and financing for established businesses. High-net-worth individuals might have access to bespoke Shariah compliant PE opportunities, but these are typically not open to the public.
And there were no such opportunities in the pharmaceuticals business – until Cur8 came along.
The pharmacy that Cur8 acquired, Everest, has been doing this on their own across a number of pharmacies over the last 15 years. It has experience buying cheaper pharmacies that aren’t very well-run, changing them, making them profitable and selling them a few years down the line.
“We want to replicate that model, but on a much bigger scale,” said Husain.
The global Halal pharmaceutical market is projected to grow from more than US$200 billion in 2024 to US$370 billion by 2032, posing a huge opportunity for the UK subset of the industry.
Driving this potential is the UK’s Muslim population, which remains its fastest-growing minority group, having grown from 1.6 million in 2001 to nearly four million – or 6% of total population – as of the latest census in 2021.
On the PE front of pharmaceuticals, Cur8’s business model has been to buy distressed assets in bulk, wherever possible, to reduce entry price and minimize downside risk. With Everest, it has focused on pharmacies that dispense over 5,000 items per month, while folding smaller operations into larger existing ones.
Cur8 eyes nearly 40 pharmacies by August 2025, revenue of over US$40 million
Cur8’s strategic focus on pharmacies is rooted in a fundamental shift within the UK’s National Health Service (NHS). Facing immense pressure from long waiting times in general practice and hospital settings, the NHS is actively pushing minor services towards pharmacies, encompassing everything from cold and flu symptoms to ear, nose and throat checks.
This systemic pivot presents Cur8 with a substantial market opportunity, with its aggressive ‘buy and build’ strategy already yielding results. In just 14 months since its inception in April 2024, its partnership with Everest has resulted in a 23-pharmacy chain with a projected yearly revenue of GBP17 million (US$23.02 million).
By the end of August 2025, Cur8 expects to have 37 pharmacies in its portfolio with an annualized revenue of around GBP30 million (US$40.77 million). The longer-term target is to amass approximately 100 pharmacies within the next couple of years.
Operationally, Cur8, through Everest, is integrating technology and automation into every layer of its pharmacy chain to enhance efficiency and profitability. An investment of GBP500,000 (US$678,144) has gone into dispensing a so-called blister pack robot, designed to automate the labor-intensive process of preparing medication packs for older patients. This frees up pharmacy staff to focus on higher-value services.
More investments are being made in software to streamline stock control, track incoming items against purchase orders and improve overall dispensing efficiency for individual patients.
Beyond automation, Cur8 is actively transforming its acquired pharmacies into comprehensive service hubs. This involves significant refurbishment to create dedicated service rooms, allowing for the provision of a wider array of profitable services like cryotherapy, blood tests and vaccinations, without detracting from traditional dispensing activities. This strategic shift aims to significantly boost profit margins.
Shariah investors in Everest to see profit-sharing income before exit
On the investor front, while the typical entry point for PE offerings in the UK is GBP250,000 (US$339,000), Cur8 is allowing UK’s Muslims to join its platform from GBP5,000 (US$6,781).
The firm had to do pioneering work in crafting its Shariah compliant investor products, given the absence of legacy or complementing structures in the UK pharmaceutical industry.
“What we decided to do is create our own pharmacy income product.”
Similar to how a PE offering would work, Cur8 has covenants in place to make sure it is not giving too much leverage or interest payments. It also has covenants to make sure that when it comes to repaying the full balance in three, four or five years’ time, it is not at risk.
For the investor, there are two modes of payout: income from profit-sharing and cash-out when each pharmacy is sold.
Assuming a gross investment of GBP3 million for a pharmacy, a 10% return is calculated – GBP300,000 (US$406,774) – to be shared between investors each year. At GBP5,000 (US$6,781) per unit, there would be 600 investment units available for each pharmacy placement and 10% profit for the minimal investment would be GBP500 (US$678).
At the end of each 12-month period – as long as the firm makes profits in those financial years – it will pay investors the three-million-pound pharmacy income product it has taken on, up to 10% of their investment. When Cur8 sells the full pharmacy in five to seven years, investors then get a capital exit.
