PharmEasy Fresh equity shares will be issued to raise the fund, as per the draft red herring prospectus (DRHP) filed by the company.
API Holdings, the parent company of online pharmacy PharmEasy, is going to bring an Initial Public Offering (IPO) of Rs 6,250 crore. The company has filed an application with the market regulator SEBI for this.
According to the draft red herring prospectus (DRHP) filed by the company, the fund will be raised by issuing fresh equity shares. The company may consider the private placement of equity shares worth Rs 1,250 crore. If the placement is done before the IPO, then the issue size will be reduced.
The company will use the proceeds from the IPO to pay off the outstanding debt of Rs 1,929 crore, spend Rs 1,250 crore for organic growth, and Rs 1,500 crore for corporate needs. API Holdings is the leading digital healthcare platform. Its investors include Prosus Ventures (formerly Naspers Ventures), TPG Growth, Temasek, CDPQ, LGT LightRock, Eight Rhodes, and Think Investments.
The company has appointed Citigroup Global Markets India, JM Financial Limited, Kotak Mahindra Capital, Morgan Stanley India, and BofA Securities India as book-running lead managers for the IPO.