InvestorQ : Why is Thyrocare planning to sell out to PharmEasy?
Mary Joseph made post

Why is Thyrocare planning to sell out to PharmEasy?

Arusha Ray answered.
1 year ago

I don’t think that the sale deal has bene finalized. It is under discussions and the two companies have not yet confirmed any concrete developments on that front. According to reports in the media, online medical store PharmEasy is in talks to acquire the diagnostics chain, Thyrocare, for a consideration EV of Rs.7,000 crore. That is close to a valuation of $1 billion and is much higher than the current value of the stock in the markets.

Thyrocare promoter Dr. Velumani has been a pioneer in diagnostic testing and has made a successful business model out of it. However, without any succession plan in place, the management is worried that it may impact valuations in the medium term despite being in a highly lucrative business. Currently, promoters hold 66.14% in Thyrocare and Dr. Velumani could is likely to buy into API Holdings as part of the deal. Thyrocare was listed in 2016.