Apollo HealthCo. in talks to raise USD 500 Mn via a minority stake sale

By Akshay Kedari  | Date: 2022-02-01

Apollo HealthCo. in talks to raise USD 500 Mn via a minority stake sale

Apollo Hospitals is reportedly in talks with a clump of private equity investors including SoftBank and General Atlantica to sell a minority stake in its pharma business, Apollo HealthCo. The 100% subsidiary of Apollo Hospitals is expected to raise USD 500 million through the stake sale.

Notably, Amazon’s recent partnership deal with Apollo Hospitals set the ball rolling for its latest equity stake sale, which is estimated to raise the vertical’s valuation to USD 3 billion. The multinational hospital chain also stated that it will continue to look into more capital raising plans for the future.

Speaking about the Amazon partnership, the company stated that it has decided to list its pharmacy products on Amazon’s website. With this listing, customers of Amazon India will have access to Apollo’s pharmacy products across the country, facilitated by Amazon’s extensive delivery services.

This collaboration between the retail giant and the hospital chain is designed to sharpen the omnichannel focus of the pharma business. It will also give Amazon the boost needed to contend with Tata group and Reliance which have entered the market with acquisitions.

If reports are to be believed, the non-exclusive nature of the partnership is a setback as other companies are now eyeing a stake in Apollo HealthCo. However, it does give an advantage to Apollo’s online pharmacy business.

In recent years, the online pharmacy space has been fiercely competitive with major players like Reliance and Tata Digital entering the fray and acquiring strong businesses like Netmeds and 1mg respectively. Moreover, Amazon’s most recent partnership with Apollo, a large offline player is expected to add more fuel to the fire.

Last year, Apollo Hospitals Enterprises had announced the merger of its offline and online pharmacies as well as its telemedicine businesses via a slump sale into 100% subsidiary Apollo HealthCo.

Source Credit –

https://www.moneycontrol.com/news/business/after-amazon-tie-up-apollo-hospitals-pharmacy-biz-attracts-attention-from-general-atlantic-softbank-others-8007531.html

About Author

Akshay Kedari     aeresearch.net

Akshay Kedari

A qualified computer engineering graduate, Akshay Kedari takes pride in having his way with words. Following his passion for content creation, he writes insightful pieces on aeresearch.net and a few other portals. Also endorsed with a short-term experience in web deve...

Read More >>

More News By Akshay Kedari

Apple announces new accessibility features including ‘Personal Voice’

Apple announces new accessibility features including ‘Personal Voice’

By Akshay Kedari

America’s technology giant Apple reportedly announced that it will soon launch "Personal Voice" with a new set of accessibility features. This will allow iPhone and iPad users to make their devices speak in their own voice, allowing u...

Cop28 to emphasize on health issues related climate conditions

Cop28 to emphasize on health issues related climate conditions

By Akshay Kedari

According to reliable sources, the upcoming United Nations Climate Change Conference, to be held in November 2023, will be the flagbearer for conducting a meeting of the global health ministers discussing the consequences of climate crisis on public ...

Hyundai-Kia combined earnings to exceed Toyota in a rare occurrence

Hyundai-Kia combined earnings to exceed Toyota in a rare occurrence

By Akshay Kedari

As per the reports, South Korean automaker Kia Corp., along with its parent Hyundai Motor Company, are anticipated to outperform Toyota Motor Corp. in the Q1 earnings for the first time ever. The combined operating profits for Hyundai & Kia wa...

Meta continues mass layoff spree, cuts another 4,000 jobs this week

Meta continues mass layoff spree, cuts another 4,000 jobs this week

By Akshay Kedari

Silicon Valley tech giant, Meta Platforms Inc., formerly known as Facebook, is reportedly cutting another 4,000 jobs this week in another round of mass layoffs. The latest job cuts are a part of the 10,000 layoffs announced in March. The company i...

Stoke Space unveils tracking software for development of complex hardware

Stoke Space unveils tracking software for development of complex hardware

By Akshay Kedari

Stoke Space, a space launch company, has reportedly introduced a new software tool designed to allow hardware companies to monitor the design, assessment, and integration of complex parts. Dubbed Fusion, the tool is set to target one of the most cruc...