PharmEasy parent files IPO papers with mkt regulator
NEW DELHI: API Holdings, the parent company of pharmacy platform PharmEasy, has filed preliminary papers with capital markets regulator Sebi to raise ₹6,250 crore through an initial share sale.
The IPO is the primary issuance of equity shares and does not have any offer for sale (OFS) component, which means the company’s existing shareholders will not divest their stake, according to the draft red herring prospectus (DRHP).
The company may consider a private placement of equity shares aggregating ₹1,250 crore. If the pre-IPO placement is undertaken, the issue size will be reduced.
The e-pharmacy startup plans to utilise the net proceeds to prepay or repay the outstanding debt of ₹1,929 crore, fund organic growth initiatives totaling ₹1,259 crore, pursue inorganic growth through acquisitions and other strategic initiatives aggregating to ₹1,500 crore, and for general corporate purposes.
The draft filing comes after a slew of tech-based companies such as Zomato, Nykaa and Policybazaar successfully concluded their initial public offerings (IPOs).
The digital healthcare platform API Holdings is an integrated, end-to-end business that aims to provide solutions for the healthcare needs of consumers providing digital tools and information on illness and wellness, offering teleconsultation, offering diagnostics and radiology tests, and delivering treatment protocols including products and devices.
Its investors include Prosus Ventures (formerly Naspers Ventures), TPG Growth, Temasek, CDPQ, LGT Lightrock, Eight Roads, and Think Investments.
API Holdings’ pre-IPO round that closed in October saw participation from a host of investors, including Singapore-based Amansa Capital, Janus Henderson, OrbiMed, Steadview Capital, ADQ, and Neuberger Berman.