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

Google Fi confirms data breach, leaking millions of customer’s data

Google Fi confirms data breach, leaking millions of customer’s data

By Akshay Kedari

Google Fi, Google's cell network operator, has reportedly revealed a data breach, which is most likely related to the T-recent Mobile's security disaster, which allowed hackers to leak millions of customers' personal information. The p...

European semiconductor giant ASML forecasts a sales surge for 2023

European semiconductor giant ASML forecasts a sales surge for 2023

By Akshay Kedari

Dutch semiconductor company ASML has reportedly forecast a revenue jump for the year 2023 as the global semiconductor industry anticipates a reacceleration of growth during the second half of this year. According to the firm, its net sales  f...

Interfor Corporation acquires 100% equity interest in Chaleur Forest Products

Interfor Corporation acquires 100% equity interest in Chaleur Forest Products

By Akshay Kedari

Following this funding, Interfor's long-term debt will hold a weighted average interest of 5.30% Interfor registered a Net Debt to the Invested Capital ratio of nearly 10% as of October 31, 2022 Interfor Corporation, one of the world...

ESR's ARA and Export-Import Bank of China partner in a deal worth US$1B

ESR's ARA and Export-Import Bank of China partner in a deal worth US$1B

By Akshay Kedari

Leading real estate services and investment company, ESR Group Limited, has recently announced that its exclusively-owned subsidiary, ARA and the Export-Import Bank of China have inked a breakthrough collaboration in a deal worth USD 1 billion infras...

Circularise nabs $11M to bring circular economy to industrial supply chains

Circularise nabs $11M to bring circular economy to industrial supply chains

By Akshay Kedari

Leading software platform, Circularise recently announced that it has raised $11.3 million (€11 million) in funding as part of its Series A round in a bid to advance its mission to bring a circular economy to industrial supply chains. The fun...