Reliance Industries Limited’s (RIL) subsidiary Reliance Retail Ventures Limited (RRVL) has acquired a majority equity stake in Vitalic Health (Vitalic) and its subsidiaries, which are together known as Netmeds for $83m in cash.
This investment marks around 60% holding in the equity share capital of Vitalic and 100% direct ownership of its subsidiaries, Tresara Health, Netmeds Market Place and Dadha Pharma Distribution.
Vitalic and its subsidiaries, incorporated in 2015, are in the business of pharma distribution, sales and business support services.
Its subsidiary also operates an online pharmacy platform, Netmeds, that links customers to pharmacists and offers delivery of medicines, nutritional health and wellness products to the doorstep of customers.
Netmeds provides prescription and over the counter (OTC) medicine along with other health products.
It provides prescription medications to over 20,000 pin codes and has served more than 5.7 million customers in over 670 cities and towns of India.
Reliance Retail Ventures Limited (RRVL) director IshaAmbani 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.”
Netmeds founder and CEO Pradeep Dadha 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.”
RIL is India’s leading private sector company, with a consolidated turnover of $87.1bn and net profit of $5.3bn for the year ended 31 March.
Last month, the multinational conglomerate Reliance reportedly entered into the final stage to acquire the retail business of Future Group.