India: Pharmaceutical Deal Reliance Retail Acquires Majority Stake in Netmeds for 83 Million Dollars
Under the deal, Reliance Retail has acquired ~60 % holding in the equity stake in Netmeds’ parent company Vitalic Health and 100 % direct equity ownership of its subsidiaries i.e. Tresara Health, Netmeds Market Place and Dadha Pharma Distribution.
Mumbai/India – Reliance Industries (RIL) has recently announced that its subsidiary Reliance Retail Ventures (RRVL) has acquired a majority equity stake in Vitalic Health (Vitalic) and its subsidiaries (Collectively known as ‘Netmeds’) for a cash consideration of approximately 83 million dollars (INR 620 crores). This investment represents ~60 % holding in the equity share capital of Vitalic and 100 % direct equity ownership of its subsidiaries, viz: Tresara Health, Netmeds Market Place and Dadha Pharma Distribution.
Incorporated in 2015, Vitalic and its subsidiaries are in the business of pharma distribution, sales, and business support services. Its subsidiary also runs an online pharmacy platform – Netmeds –to connect customers to pharmacists and enable door step delivery of medicines, nutritional health and wellness products.
Speaking on this strategic investment, Isha Ambani, Director, RRVL, said, “This investment is aligned with our commitment to provide digital access for everyone in India. The addition of Netmeds enhances Reliance Retail’s ability to provide good quality and affordable health care products and services, and also broadens its digital commerce proposition to include most daily essential needs of consumers. We are impressed by Netmeds’ journey to build a nationwide digital franchise in such a short time and are confident of accelerating it with our investment and partnership.”
Pradeep Dadha, Founder & CEO, Netmeds, said, “It is indeed a proud moment for ‘Netmeds’ to join the Reliance family and work together to make quality healthcare affordable and accessible to every Indian. With the combined strength of the group’s digital, retail and tech platforms, we will strive to create more value for everyone in the ecosystem, while providing a superior Omni Channel experience to consumers.”