Online Pharmacy PharmEasy raises $350 million in pre-IPO round

Online pharmacy and medical store, PharmEasy has received approximately $350 million in a funding round, just ahead of the company filing for draft red herring prospectus (DRHP) before an Initial Public Offering (IPO).

As reported by a leading Indian daily, based on the regulatory documents PharmEasy has received close to $204 million in primary funding from Singapore’s Amansa Capital, Blackstone-backed hedge fund ApaH Capital, US hedge fund Janus Henderson, OrbiMed, Steadview Capital, Abu Dhabi’s sovereign wealth fund ADQ, hedge fund Neuberger Berman and London’s Sanne Group
Based on the document, Amansa Capital has invested about INR 370 crore in the round, Sanne Group has invested over INR 443 crore and Steadview Capital has invested in INR 110 crore. Additionally, Janus Henderson-managed funds added approximately INR 100 crore and ADQ has put around INR 74 crore. The rest of the investment came from New York-based Neuberger Berman and others, said the filing documents procured by the leading Indian daily.

The newspaper also reports that PharmEasy’s parent company API Holdings has also closed a $130-$140 millionsecondary share sale.

Close to 20 senior employees have bought shares worth $5 million as part of the secondary sale along with IIFL’s tech fund that has also picked up shares. The company’s founders have also bought shares worth around $40 million in the secondary sale, as stated by people in the know.

The founders, Siddharth Shah, Dhaval Shah, Dhramil Sheth, Harsh Parekh and Hardik Dedhia, have also received new stock options ahead of the IPO.
This is the third major funding round for PharmEasy and has taken the total to $1 billion including secondary funding in 2021 so far.

After this round of financing API Holding’s post moey valuation has reached close to $5.6 billion, sources said. The company is looking to file DRHP this month or around Diwali. It has also added five new independent directors to its board. PharmEasy has received board approval to convert itself into a public company.