Apollo spins off pharmacy, digital business

Apollo Hospitals’ board has approved the spin-off & separate listing of its omni-channel pharmacy & digital health business.

The listing is expected within 18-21 months as part of their broader reorganisation strategy.

Breaking it down:

• Apollo is spinning off its omni-channel pharmacy and digital health business into a separate entity.
• This new entity will merge with Apollo HealthCo and Keimed Pvt Ltd, a major wholesale pharma distributor.
• The resulting platform will house Apollo 24/7, offline pharmacies, telehealth services, and Keimed’s distribution business under one roof.

Apollo Hospitals Enterprise Limited (AHEL) shareholders will receive 195.2 shares of the new entity for every 100 shares they currently hold.

The why: the transaction will create India’s largest integrated omnichannel healthcare ecosystem, with projected FY25 revenue of ₹16,300 crore, and an expected run rate of ₹25,000 crore by FY27.