e-pharmacie PharmEasy, which bought Thyrocare in June, plans to raise $1 billion in an IPO later this year, two people familiar with the plans said.
The total amount will be raised by selling new shares by PharmEasy's parent company, API Holdings Ltd
No existing shareholders, including founders and investors, will sell shares in the IPO, they said.
Top investors include Prosus Ventures, TPG Growth, CDPQ, and Temasek. Investors in PharmEasy are confident in the company's and the online pharmacy market's growth potential.
Online pharmacies have already attracted India's largest conglomerates, including Tata and Reliance Industries Ltd.
PharmEasy, founded in 2015 by Dharmil Sheth and Dhaval Shah, has tripled in value in just four months.
It raised $350 million from Prosus Ventures (formerly Naspers) and TPG Growth in April, becoming India's first e-pharmacy unicorn.
API Holdings acquired a controlling stake in Thyrocare Technologies on June 26.
PepsiCo hired Morgan Stanley and Kotak Mahindra Capital as IPO advisers in June.
According to EY's report, the e-pharma industry will grow by 18.1% annually to $18.1 billion by 2023. The report states that more efficient last-mile delivery through collaboration with local pharmacies and hyperlocal delivery firms will drive the growth.
In addition to organic growth, several large groups have acquired online pharmacies. The company bought a majority stake in Netmeds (Vitalic Health Pvt. Ltd) for 620 crores in August.