Reliance Retail acquires 60% stake in leading digital pharma market place 'Netmeds'
Reliance Industries Limited (RIL) on Tuesday announced that it has acquired 60 per cent stake in online pharmacy Netmeds for Rs 620 crore.
Reliance Industries Limited (RIL) on Tuesday announced that it has acquired 60 per cent stake in online pharmacy Netmeds for Rs 620 crore. The investment is made to enhance the availability of high quality & affordable healthcare products and services across India.
In its release Reliance Industries said, its subsidiary Reliance Retail Ventures Limited (RRVL) has acquired a majority equity stake in Vitalic Health Pvt. Ltd. ("Vitalic") and its subsidiaries (collectively known as 'Netmeds') for a cash consideration of approximately Rs 620 crores. It added, this investment represents 60 per cent holding in the equity share capital of Vitalic and 100 per cent direct equity ownership of its subsidiaries, viz: Tresara Health Private Limited, Netmeds Market Place Limited and Dadha Pharma Distribution Pvt Limited.
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 doorstep delivery of medicines, nutritional health and wellness products.
Speaking on this strategic investment, Ms 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 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."
Netmeds is promoted by Dadha Pharma, a Chennai-based company. The Dadha family's pharmaceutical experience dates back to 1914 when they ventured first into the pharma retailing business and then into drug manufacturing in 1972.