PharmEasy hires two advisers for IPO prep

NEW DELHI/MUMBAI: PharmEasy has hired two investment banks to help it prepare to go public in India, three people familiar with the development said.

The company appointed JM Financial and Kotak Investment Banking for its initial public offering, the people said, on condition of anonymity. A foreign bank may also be hired, one of the three people said.

PharmEasy is also considering an indirect listing in the US through a merger with a special purpose acquisition company or SPAC, a route that has been taken by several companies in India and abroad recently. PharmEasy is seeking a much higher valuation if it opts for the US public markets, the person added. PharmEasy and the two investment banks didn’t respond to queries.

On Wednesday, The Economic Times reported that PharmEasy would do a traditional IPO worth ₹3,000-3,700 crore, commanding a valuation of nearly $3 billion.

Earlier this month, PharmEasy raised $350 million from Prosus Ventures, TPG Growth and others as part of its Series E round. Existing investors Temasek, CDPQ, Eight Roads and Think Investments also participated in the round.