With a big money war-chest and full of determination to disrupt Indian retail market, Reliance Retail, the subsidiary of Reliance Industries Limited (RIL) has acquired a majority equity stake in Vitalic Health Pvt Ltd (Vitalic) and its subsidiaries, which is collectively known as Netmeds.
The deal is worth Rs 620 crores and would give Reliance Retail a controlling stake of 60 per cent in Vitalic and 100 per cent direct equity ownership of its subsidiaries, which includes – Tresara Health Private Limited, Netmeds Market Place Limited and Dadha Pharma Distribution Pvt Limited.
“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,” said Isha Ambani, Director, RRVL in a press statement.
Netmeds as you may know was incorporated in 2015 as a subsidiary of Vitalic. Its main business has been with pharma distribution, sales, and business support services. Netmeds operated one of India’s top online pharmacy platform which offered doorstep delivery of medicines, nutritional health and wellness products.
“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,” said Pradeep Dadha, Founder & CEO, Netmeds.
With RIL buying Netmeds, the online pharma market in India is booming. Just a few days ago e-commerce giant Amazon launched its online medicines delivery – Amazon Pharmacy in India. It offers customers prescription medication, home medical supplies, supplements, ayurvedic medicines and healthcare devices, among others.