Guardian Lifecare raises Rs100 cr, off-loads 30% stake

Guardian Lifecare raises Rs100 cr, off-loads 30% stake
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First Published: Tue, Aug 26 2008. 05 51 PM IST
Updated: Tue, Aug 26 2008. 05 51 PM IST
New Delhi: Pharmaceutical retailer Guardian Lifecare Pvt Ltd has raised Rs100 crore by off-loading about 30% stake to an unnamed private equity fund and the amount will be used for store expansions.
Guardian has been in talks with some private equity players for raising fund and the deal has been completed weeks ago, Ashutosh Garg, the company’s chairman and managing director said. Garg, however, declined to name the private equity player. Currently, Guardian operates more than 100 pharmacies in several cities and plans to add 150 outlets by March.
This is the second funding that two of the branded pharma retailers have received in the last month or so.
Santa Clara-based NEA-IndoUS Ventures and an unnamed Middle East-based venture capital fund also invested a similar amount in Hyderabad-based MedPlus Health Services Pvt. Ltd to purchase an undisclosed stake, according to a person close to the situation.
Since India does not allow foreign investment in retail ventures selling multi-branded products to consumers, the two overseas funds have invested in MedPlus’ wholesale or cash-and-carry arm. The so-called cash-and-carry is the only retail venture where India permits upto 100% overseas ownership.
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First Published: Tue, Aug 26 2008. 05 51 PM IST