One of India’s Leading Pharma Giant Cipla is eyeing to invest Rs 150-170 crore in online pharmacy startup Medlife.
Currently, The negotiations are in final stages and final contours of the transaction are still being finalized, the report said citing three people familiar with the matter.
As when contacted Cipla management they declined to comment on the matter when reached out by the newspaper, while Medlife CEO Tushar Kumar denied any such talks with Cipla.
Among the online pharma startups like 1MG, NetMeds and PharmEasy, Medlife is one of the largest players in terms of sales of Rs 1,000-1,200 crore annually, the report said.
Medlife to open 750 retail pharmacies across country
Medlife, a leading player in the online pharmacy, is betting big on Indian Pharmacy market and looking to expand its strong presence in the retail pharmacy segment. The health-tech platform will open around 750 pharmacies across India in next two years, a top company official recently said.
“We have started the omni channel where we are now looking at active acquisitions of offline retail chains. We want to open close to 750 retail pharmacies in two years, by end of 2020,” Tushar Kumar, Medlife Founder and CEO was quoted as saying by a news agency.
These stores will act both as offline pharmacies and also as well as hyper local centres for last mile delivery of medicines, he added. On being asked how the company plans to fund the acquisitions, Kumar said, “We have earmarked around Rs 250 crore for the acquisitions. This would be raised through internal accruals and we also have commitment from the Alkem Family Trust.”
The company is targeting pharmacy chains in the country for the acquisitions, he added.
Medlife is currently operating in around 21 cities with 50 licensed pharmacies (fulfillment centres), through which it delivers fast delivery of medicines for the orders it receives online.
Medlife acquires healthcare startup EClinic
In 2017, Bengaluru-based online pharmacy company Medlife has acquired another startup, EClinic24/7, founded by Jeyandran Venugopal.
EClinicsWith this acquisition, Medlife has become one stop solution center for all the healthcare needs of the customer — from doctor e-consultations, lab tests, health supplements, to delivery of medicines, a company statement said.
“The acquisition will help us offer an enhanced and seamless healthcare experience in e-consultation on the Medlife platform for both patients and doctors which will also boost our revenues,” Tushar Kumar founder & CEO, Medlife, was quoted as saying.
“We are growing at a much faster rate because of the services that we provide. We have four different lines of revenue at present including online diagnostics services, corporate tie-ups,” he further said.
Medlife, started by Kumar and Prashant Singh in 2014, is the largest player in the online space with a 35 per cent market share. Other players in the segment are Pharmeasy, Netmeds, 1mg and Practo among others.