Report: IPO-bound PharmEasy to raise up to $200m from SoftBank

“SoftBank Group is in discussions to invest in API Holdings, which owns India’s largest online pharmacy chain PharmEasy,” Bloomberg reports, citing people familiar with the matter.

Details

• PharmEasy’s parent company API Holdings could secure US$150 million to US$200 million in its next funding round from SoftBank.
• The startup is reportedly eyeing a valuation of at least US$5.6 billion and has also reached out to other potential investors for the fundraising.

Dive deeper

• The discussions over potential funding come on the heels of PharmEasy’s acquisition of a 66.1% stake in Thyrocare Technologies, one of India’s largest diagnostics laboratory chains, for about US$613 million (Read: The $600m buyout by a Temasek-backed Indian e-pharmacy unicorn)
• Following the Thyrocare acquisition, PharmEasy’s valuation jumped over 2x to US$4 billion. It recently secured US$300 million from Singapore’s state-owned investment firm Temasek and other high-profile investors.
• If the discussions are successful, the fresh capital from the next round is likely to be used to facilitate the Thyrocare acquisition. PharmEasy is also looking to go public in the next 12 to 18 months.