The valuation of PharmEasy’s parent, API Holdings, has taken a serious beating. From being valued at $5.6 billion, it came down to $458 million, which is a drop of 92%. It was due to a number of factors, including some really unfavorable market conditions and investor concern.
Janus Henderson, one of PharmEasy’s investors, cut the value of its investment in the company by as much as 91.8% as the latter grapples with financial distress. The reduction in valuation comes after a similar haircut of 90% last month when the company raised funds from Manipal Education and Medical Group.
The Mumbai-based company has actively been trying to raise approximately Rs 3,500 crore to repay its debts to Goldman Sachs. Further, the company has already defaulted on the loan terms given by the bank, which escalates the finances.
