PharmEasy Plans to Raise ₹1,700 Crore via NCDs

As per the news reports, API Holdings, the parent of online pharmacy platform PharmEasy, has announced plans to raise ₹1,700 crore (approximately $193 million) through redeemable NCDs. The fresh issuance will be backed by shares of its listed subsidiary, Thyrocare.

Debt Repayment and Pledge Structure

As per the news reports, the proceeds from the new NCD issue will be used to clear earlier debt obligations. The company had previously raised funds via NCDs with a redemption value of ₹1,820 crore, of which ₹1,545.4 crore remains outstanding. 

Those debentures were secured by pledging the full 71.06% stake in Thyrocare held by Docon Technologies Pvt Ltd, a promoter of Thyrocare and a subsidiary of API Holdings.

Once the earlier pledges are released, Docon will pledge up to 61% of Thyrocare shares to support the fresh fundraising plan. The move underlines the group’s reliance on Thyrocare’s stake to generate liquidity while PharmEasy continues to search for a path to profitability.

Leadership Shifts and Financial Performance

As per the news reports, API Holdings has undergone significant leadership changes this year. In August, PharmEasy’s founder Siddharth Shah stepped down as CEO, handing over the reins to Thyrocare MD & CEO Rahul Guha, though Shah continues as director and vice chairman. Earlier in January, fellow cofounders Dharmil Sheth, Dhaval Shah, and Hardik Dedhia exited executive roles to launch a new venture.

Financially, API Holdings narrowed its net loss by 40% in FY25 to ₹1,516.8 crore compared to ₹2,531 crore in FY24, though operating revenue remained largely flat at ₹5,872.1 crore versus ₹5,664.2 crore in the previous year. 

Read More: MobiKwik UPI Scam Cost it ₹40 Crores in 48 Hours: How Did This Happen?

Conclusion

The planned ₹1,700 crore fundraising through NCDs highlights API Holdings’ continued efforts to manage debt and support operations amid leadership churn and muted revenue growth.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.