PharmEasy CEO hopes to return to market with an IPO if robust performance sustains
Indian e-pharmacy company PharmEasy will return to the market with a public issue, if continues to put up a robust performance, Siddharth Shah, founder of PharmEasy told CNBC-TV18 in an interview.
PharmEasy rights issue has been oversubscribed with the health tech major raising a little above Rs 3,950 crore on December 14. The issue saw Ranjan Pai, of Manipal Hospitals Group, committing the largest amount at Rs 1,300 crore with the remaining Rs 2,650 crore-odd raised from existing investors who had the first right to infuse capital and employees.
He added that the company wanted to deleverage the balance sheet before the IPO. Pai added that the company was EBITDA positive in Q1FY24 and that the trend has continued.
It is awaiting an approval from the Competition Commission of India (CCI) for the rights issue. After the issue, Pai is likely to hold around 15 percent in PharmEasy.
The funds from the rights issue will be used to pare down existing debt and the remaining funds for organic growth. PharmEasy has around $285-300 million in debt from Goldman Sachs which was procured through NCDs. This was to fund the acquisition of diagnostic player Thyrocare.
