API Holdings' proposed 100% acquisition of Medlife gets CCI's approval

Healthcare company Medlife is primarily engaged in wholesale and distribution of drugs. API Holdings is the parent entity of API Holdings group

The Competition Commission of India (CCI) on Wednesday approved the proposed combination of Medlife and API Holdings.

The deal pertains to the proposed acquisition of 100 per cent equity shares of Medlife by API Holdings. Medlife shareholders are to get up to 19.59 per cent equity share capital of API Holdings. 

Medlife is a healthcare company is primarily engaged in wholesale and distribution of drugs, while API Holdings is the parent entity of API Holdings group.

"CCI approves proposed combination of Medlife & API Holdings," the fair trade regulator said in a tweet. API Holdings is the parent of online pharma entity PharmEasy.

In June, a composite scheme of amalgamation filed by API Holdings had been approved by the National Company Law Tribunal (NCLT).

The rehgulator had on Tuesday approved the proposed merger of e-pharmacy companies Medlife and PharmEasy, a month after Medlife made a formal filing to merge with the Temasek-backed company. 

Medlife, a Patna-based company, was valued at $375 million as of January 31, 2020.

(More details awaited)