Pharmacy retailer Medplus Health Services’ largest shareholder and investor Lavender Rose Investments has sold a 6.18 percent stake in the company ahead of its initial public offering (IPO).
The anchor book of Medplus will open for a day on December 10 and other categories get to invest on December 13-15, 2021.
“One of the shareholders, Lavender Rose Investments, has sold 69,09,548 equity shares, representing 6.18 percent of the pre-offer equity share capital, to certain investors including SBI Mutual Fund and Motilal Oswal Mutual Fund on December 8, 2021,” said the company in its addendum (notice to investors) published in newspaper on December 10.
The company added that Lavender sold the shares at a price of Rs 796 each, the upper end of the price band of Rs 780-796 per share. Lavender has raised Rs 550 crore. The red herring prospectus was filed by the company on December 3.
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SBI Mutual Fund through its three schemes SBI Focused Equity Fund, SBI Magnum Midcap Fund and SBI Healthcare Opportunities Fund acquired a 3.65 percent stake in Medplus, while SBI Life Insurance bought 1.41 percent. They signed the share purchase agreement with Lavender on December 4.
Motilal Oswal Mutual Fund through its schemes Motilal Oswal Long Term Equity Fund and Motilal Oswal Large and Midcap Fund took a 0.66 percent stake in Medplus, for which Lavender signed the share purchase agreement on December 7.
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While Malabar India Fund and Malabar Select Fund collectively acquired a 0.44 percent equity stake, Malabar Midcap Fund bought 0.11 percent, after signing the share purchase agreement with Lavender on December 6 and December 8, respectively.
After the stake sale, “Lavender Rose Investment holds 2,05,63,607 equity shares, or 18.40 percent of pre-offer paid up equity of Medplus,” the company said.
Before the stake sale (pre-offer period), Lavender was the largest shareholder in the company with a 24.58 percent stake, followed by PI Opportunities Fund – I with 22.07 percent.
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Promoters Lone Furrow Investments, Agilemed Investments and Gangadi Madhukar Reddy are the next largest shareholders in the company, together owning 43.16 stake in Medplus.
Medplus Health, the second largest pharmacy retailer in India in terms of revenue from operations and number of stores in FY21, plans to raise Rs 1,398.3 crore through its public issue that comprises a fresh issue of Rs 600 crore, and an offer for sale of Rs 798.3 crore by PI Opportunities Fund – I, SS Pharma LLC, Shore Pharma LLC, Natco Pharma, Time Cap Pharma Labs, A. Raghava Reddy, K. Prakurthi, Navdeep Patyal, Sangeeta Raju, R. Venkat Reddy, T.K. Kurien, Nithya Venkataramani, Atul Gupta, Manoj Jaiswal, Rahul Garg, Kollengode Ramanathan Lakshminarayana and Bijou Kurien.
The offer includes Rs 5 crore worth of shares reserved for the company’s employees who will get a discount of Rs 78 per share to the final offer price.
The company will utilise the net proceeds from its fresh issue for working capital requirements of its subsidiary, Optival Health Solutions.
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