Besides CDPQ, US-based TPG has sought CCI’s approval to acquire a 7% stake in PharmEasy.The CDPQ had previously participated in PharmEasy’s $220 Mn round in 2019.It has raised $328 Mn across seven funding rounds from investors till date and had merged with Medlife last year.
Mumbai-based online pharmacy PharmEasy has received the Competition Commission of India’s approval for investment from Canada-based CDPQ (Caisse de dépôt et placement du Québec) in exchange for a 2% stake in the parent company API Holdings. The Canadian pension fund CDPQ had previously participated in PharmEasy’s $220 Mn round in 2019.
Both the companies have not disclosed any other transaction details of this latest round. But CDPQ isn’t the only one running after stake in the epharmacy startup. US-based private equity firm TPG sought CCI’s approval to acquire a 7% stake in PharmEasy, which intends to use this capital to deepen its distribution network and build a technology-first product. The approval was filed in December, two months after PharmEasy got the green light to sign a merger with rival Medlife.
Under the merger, API Holdings acquired 100% equity shares in Medlife, whereas Medlife’s promoters got a 19.95% stake in the combined entity. Media reports had suggested that the combined entity will be valued at $1.2 Bn, but that does not seem to be the case here. An Entrackr report citing sources added that PharmEasy did not surpass the unicorn valuation after this investment by CDPQ.
