Pharmacy retailer, Medplus Health Services Ltd, filed its draft red herring prospectus (DRHP) with the Securities Exchange Board of India (SEBI) for its initial public offer (IPO) of ₹1,639 crore.

According to sources, the IPO consists of equity shares, of face value of ₹2 each, of Medplus Health Services Limited aggregating up to ₹16,387 million or ₹1,639 crore.

The offer comprises fresh issues aggregating up to ₹600 crore and an offer for sale of up to ₹1,038.716 crore.

Pharmacy retail brand

Hyderabad-based Medplus was founded in 2006 by Gangadi Madhukar Reddy, the MD and CEO, with the vision to set up a pharmacy retail brand. It was also the first pharmacy retailer in India to offer an omni-channel platform and continues to scale up its retail store network.

The company now runs over 2,000 stores distributed across Tamil Nadu, Andhra Pradesh, Telangana, Karnataka, Odisha, West Bengal, and Maharashtra.

Medplus proposes to utilise the net Proceeds towards funding the working capital requirements of its subsidiary, Optival, and general corporate purposes.

The book running lead managers to the offer are Axis Capital Limited, Credit Suisse Securities (India) Private Limited, Edelweiss Financial Services Limited, and Nomura Financial Advisory and Securities (India) Private Limited.

The equity shares are proposed to be listed on the BSE and the NSE.