Thyrocare Technologies shares decline nearly 9% on Monday; as PharmEasy to pick up 66% stake in the company

The shares of Thyrocare Technologies Limited slipped by nearly 9 per cent on an intraday basis today on the BSE and were trading at Rs 1320.7 per share. API Holdings Limited (API), which is the parent company of online pharmacy start-up PharmEasy has announced its intentions to acquire over a 66 per cent stake in Thyrocare for over Rs 4546 crore. 

Thyrocare Technologies in its filing on Friday announced the deal made by API Holdings’ PharmEasy, this is one such deal, wherein an Indian unicorn proposes to buy a controlling stake in a listed company. 

Docon Technologies Private Limited along with API Holdings Private Limited announced an open offer for the acquisition of up to 1,37,55,077 fully paid-up equity shares of the face value of Rs 10 each from the Public Shareholders of Thyrocare Technologies Limited representing 26% of the Expanded Voting Share Capital, at a price of Rs 1,300 Equity Share aggregating to a total consideration of Rs 17,88,16,00,100 payable in cash, the company said in an exchange filing.

Velumani as a part of the transaction will be investing close to Rs 1,500 crore in API Holdings for a 4.9 per cent stake, Thyrocare said in this exchange filing. The current deal helps PharmEasy’s valuation to soar up to USD 4 billion from USD 1.8 billion at the last round of investment. 

At around 11:00 am, the stock is trading near the day’s low level with a decline of 8.76 per cent to Rs 1321.25 per share, as compared to Rs 1,448.05 previous close for a market value of Rs 7,656 crore. 

Amid the deal announcement, the stock had hit its new 52-week high on Friday to Rs 1465.90 per share, while last almost a year ago on July 1, 2020, it had touched a 52-week low to Rs 485.3 apiece. 

The stock in the last five sessions, from June 21-25, has surged by around 10 per cent, while it has reported a jump of near 40 per cent in the past month. Since March 19, 2021, the shares of this small-cap pharma company have soared over 80 per cent.