PharmEasy parent API Holdings, others get Sebi nod for IPOs

API Holdings, India’s largest digital healthcare company, has received approval from markets regulator Sebi to raise Rs 6,250 crore through an initial public offering (IPO). Adar Poonawalla-backed Wellness Forever Medicare and metal recycling firm CMR Green Technologies have also got Sebi's go-ahead to raise funds through initial share sales.

The API Holdings' IPO will be primary issuance of equity shares and does not have any Offer For Sale (OFS) component, which means the company's existing shareholders will not divest their stakes. The e-pharmacy startup plans to utilise the net proceeds to prepay or repay a portion of the outstanding debt of Rs 1,929 crore, fund organic growth initiatives totalling Rs 1,259 crore, pursue inorganic growth through acquisitions and other strategic initiatives aggregating to Rs 1,500 crore, and for general corporate purposes.

Retail pharmacy Wellness Forever Medicare plans to mop-up Rs 1,500-1,600 crore through its IPO, sources said. The IPO consists of a fresh issue of equity shares aggregating to Rs 400 crore and an offer for sale up to 16,044,709 equity shares, as per the Draft Red Herring Prospectus (DRHP). As part of OFS, up to 7,20,000 equity shares will be offloaded by Ashraf Mohammed Biran, up to 720,000 equity shares by Gulshan Haresh Bhahtiani, up to 120,000 equity shares by Mohan Ganpat Chavan and up to 14,484,709 equity shares by other existing shareholders.

CMR Green Technologies' IPO comprises fresh issuance of equity shares worth Rs 300 crore and an OFS of 33,414,138 equity shares by promoters and investors, as per the draft papers. Those offering shares in the OFS include promoters -- Gauri Shankar Agarwala will sell 34.33 lakh equity shares, Kalawati Agarwal will offload up to 33.45 lakh equity shares and Mohan Agarwal and Pratibha Agarwal will divest up to 30.09 lakh equity shares each -- and investor -- Global Scrap Processors -- will sell up to 1.99 crore equity shares. Proceeds from the fresh issue will be utilised towards the payment of debt and general corporate purposes.