PharmEasy IPO Back On The Radar After Parent API Holdings Repays ₹1,050 Crore Debt, With Merger Option Still Open

API Holdings, the parent company of PharmEasy and backed by global private equity firm TPG, has repaid ₹1,050 crore of term debt and is preparing for its next phase of growth.

The debt was repaid using proceeds from a partial stake sale in Thyrocare and internal accruals. API Holdings continues to hold a 51.02% controlling stake in the listed diagnostics company.

The company now plans to prioritise profitability before deciding whether to pursue a PharmEasy initial public offering (IPO) or merge with Thyrocare Technologies Limited.

On 5 October 2026 at 2:57 pm, Thyrocare shares were trading at ₹539, up 1.01% on the National Stock Exchange (NSE). The stock opened at ₹539.90 against its previous close of ₹533.60. During the session, it touched an intraday high of ₹544.80 and a low of ₹532.15.

API Holdings Sets September 2027 Profitability Target

API Holdings is targeting profitability in its business excluding Thyrocare by September 2027. At the consolidated level, including Thyrocare, the group is already profitable.

The company’s operating businesses, including PharmEasy, Ascent and Aknamed, are already positive in terms of earnings before interest, taxes, depreciation, and amortisation (EBITDA), before central costs. Head-office expenses covering technology, finance, human resources, legal and professional services continue to weigh on the business.

Excluding Thyrocare, EBITDA losses narrowed from ₹637 crore in FY24 to ₹396 crore in FY25 and ₹168 crore in FY26. The company expects further improvement before reaching break-even by Q2FY28. Operating expenses also declined from ₹1,225 crore in FY24 to ₹943 crore in FY26.

PharmEasy IPO Or Thyrocare Merger

Both a PharmEasy IPO and a potential merger with Thyrocare remain under consideration. However, API Holdings plans to make that decision only after reaching its profitability target.

It also does not plan to immediately raise fresh equity. The company has not raised equity since 2021 and plans to fund the growth mostly through internal accruals and bank-funded working capital. Revenue is expected to grow by around 15% annually.

Meanwhile, PharmEasy is shifting towards an integrated outpatient healthcare model. It already makes about 25% of its sales from higher-margin products and services. Generics and private-label products account for about 9%.

Also Read - Jio Platforms IPO May Open October 21, Listing Likely on October 28, Sources Say