Hyderabad-based omnichannel pharmacy retailer Medplus, with over 1,800 stores, is planning an initial public offering (IPO) with a goal of raising Rs 2,000 crore, or about $300 million, Money Control reported.
MedPlus also operates the online store MedPlus, lab centers MedPlus Pathlabs and surgical equipment distribution business RiteCure. Backers of the pharmacy chain, India’s second largest in terms of the number of stores, include: private-equity firm Warburg Pincus and Premji Invest.
The plan is to prepare to launch an IPO in 2021, sources told Money Control.
“The IPO will be a combination of primary and secondary issue of shares and will help to provide a partial exit to investors like Warburg Pincus and Premji Invest,” one source told Money Control.
“MedPlus has recently shortlisted Axis Capital, Nomura and Edelweiss Financial Services,” said another source. “They are likely to select a fourth investment bank soon.”
Another source said that while the plan as of now is to raise around Rs 1,800 crores to Rs 2,000 crores through the IPO, that target may increase depending on valuations.